ACG to produce 76,000 bpd in May, June

In order to fulfill the obligation to cut the oil output within the OPEC+ agreement, Azeri-Chirag-Deepwater Guneshli (ACG) block of fields is planned to produce 76,000 bpd in May and June, Report informs, citing SOCAR.

According to the information, the ACG operator Azerbaijan International Operating Company (AIOC) will be able to increase the production by 27,000 bpd after June, 26,000 bpd from 2021.

So, the AIOC's production in 2021 is expected to be 487,000 barrels.

According to the OPEC+ deal, Azerbaijan is to reduce the output by 164,000 bpd in May and June.

Azeri-Chirag-Deepwater Gunashli (ACG) field, located about 100km east of Baku is the largest oilfield in the Azerbaijan sector of the Caspian basin. The Production Sharing Agreement (PSA) was signed on September 20, 1994, in Baku. The contract covered the development of an area that covered three major oil fields in the Azerbaijan sector of the Caspian Sea – Azeri, Chirag and Deepwater portion of the Gunashli field (ACG). On September 14, 2017, the PSA was extended until 2049.

ACG shareholders are BP Exploration (Caspian Sea) Limited (Operator, 30.37%); SOCAR (25%); MOL Group (9.57%), Inpex Southwest Caspian Sea, Ltd. (9.31%); Equinor Apsheron a.s. (7.27%); ExxonMobil (6.79%); Turkiye Petrolleri A.O., (5.73%); Itochu Oil Exploration (Azerbaijan) Inc. (3.65%); ONGC Videsh Limited (2.31%).