SOCAR AQS, Halliburton agree on new joint venture

SOCAR AQS and Halliburton have announced the signing of a memo. The document marks an agreement between the companies to create a new joint venture that will provide a broad range of materials and services for the oil industry in Azerbaijan.

"By uniting our unique knowledge, experience, and infrastructure in Azerbaijan with Halliburton, the global leader in the provision of services in the oil industry, we have created a strategic platform for joint expansion of works in Azerbaijan," SOCAR AQS general director Ramin Isayev said.

Ahmed Kenawi, Halliburton's senior vice president for Europe, Eurasia, and sub-Saharan Africa, noted that cooperation supports the country's strategy to localize high-quality technology services.

"By creating a partnership with SOCAR AQS, we believe that the joint venture will aim solely to provide high-quality services to meet the growing demand for materials and equipment in the region's oil and gas industry."

The joint venture will be headquartered in Baku, Azerbaijan, and will focus on development and operations both onshore and offshore.

SOCAR AQS and Halliburton plan to complete the creation of a joint venture and begin operation in the second quarter of 2020, provided that the parties fulfill the clauses of the agreement.

SOCAR AQS LLC was established as an integrated drilling and well services management company between the State Oil Company of Azerbaijan Republic and Absheron Drilling Company in 2007. The main scope of activities of the company includes provision of work and services related with drilling of oil and gas wells, including: well design and planning; drilling of oil and gas wells; drilling of directionally deviated wells; drilling of horizontal wells; well completion; well workover; sidetracking and drilling of multilateral wells. The company also provides industry-specific supply chain management, warehouse management, and other related services.

SOCAR AQS is currently drilling oil and gas wells using six drilling rigs from five platforms at four offshore oil and gas fields in the Caspian region, including the shallow Gunashli, the West Absheron and Bulla-Deniz fields.

The company successfully implements drilling operations in Turkey as part of the Tuz Gelu underground gas storage expansion project. SOCAR AQS has also performed works in Ukraine and Bangladesh.

The company is the first and so far the only drilling company in the region certified for compliance with API Spec Q2.

SOCAR AQS was declared the leader of the UN global compact in September 2019. The company has 1,200 employees, most of whom are citizens of Azerbaijan.

SOCAR AQS is part of NEQSOL Holding, and its shareholders are SOCAR and Nobel Oil Services.

Founded in 1919, Halliburton is one of the world's largest suppliers of products and services for the oil industry. With 55,000 employees of 140 nationalities in more than 80 countries, the company helps its customers maximize value throughout the life cycle of the reservoir, from locating hydrocarbons and managing geological data to drilling and generating assessments, building and completing wells, and optimizing production throughout the life cycle of the well.