SOCAR signs memorandum of understanding with GAIL

Azerbaijan's state oil company SOCAR has signed a memorandum of understanding with Indian gas transporter GAIL Ltd.

Under the MoU, the companies shall co-operate in the marketing, sourcing and shipping of LNG. The two will also pursue opportunities in upstream assets across the world and jointly invest in petrochemical projects.

“Skills and strengths of both the parties will be leveraged to explore business opportunities jointly in natural gas and LNG, including new business developments,” B. C. Tripathi, chairman and managing director of GAIL, said.

Gas production in the Central Asian country is expected to reach 30 billion cubic metres (bcm) in 2018 compared with 29.45bcm in 2013.

India produced 35.4bcm of gas in 2013-14 against 40.76bcm a year ago.

A major portion of Azerbaijan’s natural gas is produced from the giant Shah Deniz field in the Caspian Sea.

Azerbaijan’s projected reserves are 2.3 trillion cubic metres (tcm), which can go up to 6tcm. India’s natural gas reserves at the end of the last fiscal stood at 1.4tcm.

Bakudaily.Az