Operating expenditure of Shah Deniz project doubles

In 2021, the operating expenditure for the activities on the Shah Deniz gas condensate field project amounted to $2 billion, while capital expenditure reached $680 million, Report informs referring to the joint statement of the operator of the block of fields - BP-Azerbaijan and partners for 2021.

Compared to 2020, the operating expenditure increased by $1 billion or doubled, while capital expenditure decreased by $262 million or 27.8%.

Most of the capital costs are related to the Shah Deniz-2 project.

The production sharing agreement on the exploration, development of promising areas of Shah Deniz was signed on June 4, 1996. The agreement was ratified on October 17, 1996.

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