Lukoil board of directors meets in Baku

A meeting of Russian Lukoil Board of Directors was held at the company's Baku office Tuesday. Following the meeting, Lukoil president Vahid Alakbarov told a news conference that the first board meeting abroad focused on the company's Caspian sea projects, prospects of oil refining, marketing of oil products and bringing of Lukoil's accounting system into conformity with international standards. All the issues were approved, he said.

The meeting was attended by Russian deputy foreign ministry Viktor Kalyuzhniy, the SOCAR president and vice-president Natiq Aliyev and Ilham Aliyev and Head of SOCAR's foreign investment section Valeh Alasgarov.

Members of the board were received by President Aliyev Tuesday.

$50mln investment plan

Lukoil is expected to invest $50 million in its Azerbaijan partner projects and raise the number of service stations, Lukoil president Vagit Alakbarov told Azernews Tuesday.

According to him, the sum is sufficient to maintain the company's share in Shah Daniz, Yalama and Zykh-Hovsan projects and to build 5-7 gas stations this year.

Mr. Alakbarov said EIA work on Yalama prospect is underway. In his words, the Shelf-7 drilling rig will be upgraded to start working on Yalama in 2004.

The Lukoil president said he welcomes the recent Azeri-Turkish gas deal. Asked about the Baku-Tbilisi-Ceyhan MEP, he said he would share his view after the anticipated oil reserves are confirmed.