SOCAR capex on Azerbaijan gas distribution grows

The State Oil Company of Azerbaijan (SOCAR) raised spending on gas distribution projects in 2013 by 36.5% to AZN 218.57 million ($278.68 million), the company said.

SOCAR spent AZN 892 million in 2009-2013 to build gas distribution infrastructure and improve supplies in Azerbaijan, Interfax reported. It also spent AZN 378 million on capital repairs.

The four-year period saw the construction of 25,205 km of new gas pipelines and 18 new gas distribution stations in the country, as well as repairs on 7,728 km of lines and 41 distribution stations.

As a result of this work, gas was carried to 663 towns and villages in 53 districts of Azerbaijan between 2009 and 2013, and the level of gas distribution in the country rose from 62.3% at the end of 2009 to 77.9% in 2013. SOCAR said it plans to bring gas to 438 population centres in 54 districts this year.

The company's proven gas reserves as of early 2014 amounted to 61.15 billion cubic metres, up by 150% from the beginning of 2013, when they were 23.82 bcm, it said. Proven oil reserves stood at 78.50 mt at the start of this year.

SOCAR's oil production amounted to 8.32 mt in 2013, making up 16% of Azerbaijan's total output. Gas production was 7.14 bcm, accounting for 20% of Azerbaijan's total.

Bakudaily.Az