Does Azerbaijan announce price of gas sold to Turkey?

Does Azerbaijan announce price of gas sold to Turkey?

SOCAR has not announced any price, yet

The price of Azerbaijan’s gas exported to neighboring Turkey is currently $330 per 1,000 cubic meters, a senior Azerbaijani official was quoted by the Sabah newspaper as saying on Monday. “Turkey imports gas from Russia for $450 and from Iran for $420 per 1,000 cubic meters. Azerbaijani gas is supplied to Turkey at the lowest price,” said Novruz Mammadov, the Presidential Administration’s head of foreign relations.

At present Turkey receives gas from the Azerbaijani gas condensate field Shah Deniz in the Caspian Sea via the South Caucasus Pipeline, a section of the Baku-Tbilisi-Erzurum (BTE) pipeline. According to the contract, Turkey is to receive 6.6 billion cubic meters of gas during the first phase of Shah Deniz field development. During Phase 2 of the project, Turkey will receive 6 billion cubic meters of gas.

Earlier, the price of Azerbaijani gas sold to Turkey was $120 per 1,000 cubic meters. Reserves of Shah Deniz field are estimated at 1.2 trillion cubic meters of gas.

The contract to develop the offshore Shah Deniz field was signed in 1996. Parties to the agreement are: BP (operator), with 25.5 percent, Statoil with 25.5 percent, NICO (10 percent), Total (10 percent), LukAgip (10 percent), TPAO (9 percent), and Azerbaijani state energy firm Socar (10 percent).



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