Oil production at Balakhani field up 10%

In 2021, the onshore Balakhani field extracted 1.73 million barrels of oil (+0.16 million barrels or 10.2%), Report informs, citing the Chamber of Accounts.

A total of 1.62 million barrels of condensate were expected to be extracted from this field last year, which is 0.11 million barrels or 6.79% more than the actual figure.

The Balakhani-Sabunchu-Ramana oil and gas field is located 12 kilometers northeast of Baku. The area was discovered in 1869 and has been in operation since 1871. There are 1,124 operating wells and 328 inactive wells at the field.

The field is being developed by the Balakhanineft Oil and Gas Production Department (SOCAR structure). In 2010, SOCAR and the German company UGE-Lancer signed a 25-year agreement on exploration, rehabilitation, development, and production from the block, including the Balakhani, Sabunchu, Ramana, and Kurdakhani fields. The contract area is 16.14 square kilometers.

SOCAR’s share is 25 percent and Lancer’s 75 percent.