Canada's Zenith Energy Ltd announces that in agreement with SOCAR (State Oil Company of the Azerbaijan Republic), the Contract Rehabilitation Area for Muradkhanli-Jafarli-Zardab onshore oil fields block of Azerbaijan has been terminated.
Report says, citing Canadian company, its Azerbaijan subsidiary has recently received payments for approximately $85,000 from SOCAR for past oil production.
Further, the company's local subsidiary expects to receive final payment in due course from SOCAR and shall update the market accordingly upon receipt.
Earlier it was informed that as a result of the delivery, Zenith stopped oil production in Azerbaijan, and about 170 employees were transferred to SOCAR.
On March 16, 2016, SOCAR and Zenith Aran Oil Company Ltd signed an agreement on the rehabilitation, exploration, development, and production sharing (PSA) of the block, which includes the Muradkhanli-Jafarli-Zardab oil fields. The Azerbaijani Parliament ratified the agreement on June 14, 2016. Production from the fields began on August 11, 2016.