In pact with Azerbaijan state oil firm’s trading arm
To begin with, OVL’s share of oil from the Azeri, Chirag and Guneshli (ACG) group of fields in Azerbaijan will be traded through the new venture.
BP-operated Azeri-Chirag-Deepwater Guneshli (ACG) field is located about 100 km east of Baku and is the largest oilfield in the Azerbaijan sector of the Caspian basin. It produced an average 634,000 barrels per day (31.3 million tonnes in total) oil in 2015. OVL has 2.72 per cent stake in the field which it had bought from US energy firm Hess for about USD 1 billion.
The memorandum of understanding (MoU) was signed on May 27 at Geneva, the company said in a statement.
“The objective of the MoU is to explore possibilities of joint marketing of OVL’s crude oil portfolio by leveraging SOCAR Trading’s experience in oil trading,” it said.
The MoU was signed by S P Garg, Director (Finance), OVL and Arzu Azimov, CEO, SOCAR/ Initially, both parties agreed to initiate discussion on Joint Marketing Agreement in respect of OVL’s equity crude from ACG, Azerbaijan.