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Volume of expenses incurred on Shah Deniz field this year revealed

07 August 2025 13:58 (UTC +04:00)

Approximately 1,754 million US dollars were spent on activities related to the Shah Deniz gas-condensate field in the first half of this year, APA-Economics reports, citing BP’s report dedicated to the results of its operations in Azerbaijan for the first half of the current year.

According to the information, in the first half of 2025, approximately 1,282 million dollars were spent on operational expenses and approximately 472 million dollars on capital expenditures related to Shah Deniz. The majority of these expenses were associated with the Shah Deniz 2 project.

“The delivery of gas from the Shah Deniz field to markets of Azerbaijan (SOCAR), Georgia (GOGC), Türkiye (BOTAŞ), the BTC for numerous facilities, and buyers in Europe continued during the first half of the year,” the report notes.

It is reported that in the first six months of the year, a total of approximately 14 billion standard cubic meters of gas and around 2 million tonnes (about 16 million barrels) of condensate were produced from the Shah Deniz field, jointly from the Shah Deniz Alpha and Shah Deniz Bravo platforms.

The current production capacity of the existing Shah Deniz facilities is approximately 77.2 million standard cubic meters per day (around 28.2 billion per year).

It is noted that the work performed under the Shah Deniz 2 project, continues to be the main scope of work of the Khankendi vessel. The primary focus remains on the delivery of the remaining wells under the project. To ensure efficient use of the vessel and drilling rigs, an integrated schedule has been developed to optimize operations and accelerate the well commissioning timeline.

“In the first six months of the year, the drilling rig on the Shah Deniz Alpha platform has been in reactivation mode.

The ‘Istiglal’ and ‘Heydar Aliyev’ drilling rigs continued well-related operations within the framework of the Shah Deniz 2 project.

In the second quarter, the ‘Istiglal’ rig carried out operations on well SDF04 in the west-south flank, while the ‘Heydar Aliyev’ rig continued drilling works on well SDH04 in the east-north flank,” the report states.

In total, 22 wells have been drilled under the Shah Deniz 2 project. These include five wells in the northern flank, five in the western flank, four in the east-south flank, five in the west-south flank, and three in the east-north flank.

The participating interests in Shah Deniz are as follows: BP (operator – 29.99%), Lukoil (19.99%), TPAO (19.00%), Southern Gas Corridor (16.02%), NIKO (10.00%), and MVM (5%).