SOCAR, Gazprom discuss potential areas of cooperation

Alexei Miller, Chairman of the Board of Gazprom of Russia, and Rovnag Abdullayev, President of the State Oil Company of Azerbaijan (SOCAR), have discussed potential areas of cooperation in the energy sector at a business meeting in St. Petersburg, Russia, Report informs, citing Gazprom.

We should note that in July this year, Azerbaijan and Russia agreed to cooperate in the field of seasonal exchange of natural gas. The relevant contract was signed between Azercontract and Gazprom.

The agreement provides for the supply of similar volumes of gas from Azerbaijan to Russia in summer, as well as from Russia to Azerbaijan in winter.

The volume of supplies will depend on the level of gas production and consumption in Azerbaijan in the summer months. SOCAR will carry out the technical implementation of the agreement in terms of receiving and sending the appropriate amount of products by Azerbaijan.

The contract will allow the parties to make optimal use of their oil and gas infrastructure. Against the background of the rapid growth of gas production in the country, Azerbaijan has the opportunity to consume additional volumes of its natural gas for the winter season, when the level of domestic consumption increases significantly.

The agreement is valid until 2023.

Gazprom is the world's largest gas company. Over 50% of the company's shares are controlled by the Russian Federation.