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SOCAR READY TO GO TO INT’L COURT
By Anar Jabrayilli Azernews Staff Writer
SOCAR vice-president Khosbakht Yusifzadeh believes that the Turkmen government, instead of seeking compromises in the issue of Caspian division, is putting forward ultimatum-like demands to its neighbors. Thus, the Kapaz field, which Turkmenistan has labeled as disputed one, is located within the Azerbaijan sector regardless of the coordinates of a future median line, he said.
"During a visit by the Azerbaijan delegation to Turkmenistan in early May, we were accompanied by mapping specialists. We have managed to prove, on the basis of international law, that Turkmenistan's claims are ungrounded", Mr. Yusifzadeh told Azernews Monday.
According to him, the problem should be resolved through the international court of justice. Pointing out to the further exacerbating ambivalence between the two countries, he said the meeting scheduled for May 15 has been postponed indefinitely.
Mr. Yusifzadeh said the issue of Caspian status has already been agreed upon with Russia and Kazakhstan, while Iran and Turkmenistan are inclined to think more of their own benefits than of a fair solution to the problem.
Confirmation coefficient 50%
Data relating to the current oil and gas production rate, prospects of the sector, contracts concluded and revenues being earned were disclosed by the SOCAR vice-president Friday.
According to him, oil output in Azerbaijan started surging after the AIOC oil was produced in late 1997. "In 1998 it constituted 11 million tons, in 1999 - 13.5 million and in 2000 - 14.1 million. In 2020, oil production will reach 50 million tons and gas 50 billion cubic meters", Mr. Yusifzadeh said.
Touching upon the Garabagh, Ashrafi-Dan Ulduzu and Muradkhanli fields, which have given disappointing results, the SOCAR vice-president said discovery percentage of hydrocarbon resources internationally is around 30%. "Since the USSR times, this coefficient in the Caspian has averaged around 50%", he said.
Mr. Yusifzadeh, an experienced oil-worker, said all prospects for which contracts have been signed are very promising and voiced his confidence that projections being made would come true by at least 50%.
He indicated that Azerbaijan had already earned in excess of $1.5 billion to date.
"As part of the Contract of the Century and the Shah-Daniz project the revenues have already exceeded a billion dollars", he said.
Profit gas exports since 2010
If no losses were allowed, Azerbaijan's current demand for gas would be 15-16 billion cubic meters a year, according to the SOCAR vice-president Khoshbakht Yusifzadeh. He said Azerbaijan used to produce 15 billion cubic meters in 1982, while 5 billion more was imported from former CIS republics.
At the present time, SOCAR produces 5.5 billion cubic meters of gas a year and the AIOC gives 0.9 billion. Besides, the ITERA alliance supplies 9-10 million cubic meters a day, which translates into a little over 9 billion cubic meters.
According to Mr. Yusifzadeh, the republic will become self-reliant on gas after the Shah-Daniz contract starts working. In 2004-2007, Azerbaijan will be exporting the Shah-Daniz gas to Turkey, while after 2010 profit gas will even be exported.
IDA TO FINANCE RECONSTRUCTION OF GANJA-GAZAKH MOTORWAY
The Azerbaijan government and the World Bank have signed a letter-of-intent in the USA on financing the reconstruction of the Ganja-Gazakh motorway. The International Development Association, a part of the WB, intends to allocate $40 million for reconstruction of the road as part of the TRACECA program, according to a source from the Cabinet of Ministers. WB proposes to reconstruct the road from Ganja till Gazakh, while the Azeri government negotiator, vice-premier Abid Sharifov suggested that the road be renovated till the border with Georgia. The crediting issue will be discussed by the WB Board of Directors shortly. A $40 million credit with yearly interest stake of 0.75% is to be opened for 40 years and repayment to start in 10 years.
The project is valued at a total of $48.6 million. The balance is to be funded by Azerbaijan itself.
AIRPORT GATE JV TO IMPROVE QUALITY OF SERVICE
Three innovations were introduced at the Baku International Airport Tuesday: an automated system of parking duties for the entry to the airport premises, a taxi service for passengers and a new waiting room.
The quality changes have been initiated by the Joint Azeri-British Venture Airport Gate established by the Azerbaijan Airlines state concern and British International Holding Company.
The automated system of duties valued at $80,000 will be charging from AZM1,000 to 5,000 for parking.
The JV has, at its own expense, bought 20 Volkswagen taxis totaling $375,000. Taxi drivers, citizens of Azerbaijan, are dressed in a special uniform.
The third project is the VIP hall meeting international standards, equipped with latest communication facilities, mother-and-child rooms, lounge, and simplified customs and border control procedures.
The opening ceremony was attended by the deputy general director of AzAL Etibar Husseinov, representatives of the JV and journalists.
ITE GROUP P.L.C. TO HOLD THREE EXHIBITIONS THIS YEAR
The 7th specialized exhibition InterFood-Azerbaijan-2001, organized by British ITE Group P.L.C. and Azeri Iteca Caspian, will be held at Europe Hotel of Baku Wednesday.
Director of Iteca Caspian Mr. Farid Mammadov told a news conference Tuesday that 40 companies engaged in food production would be represented. More than half of them are local, 20% are from CIS, while the rest from distant abroad. Benefits are envisioned for local companies.
Three other exhibitions are due this fall, on public health, construction and telecommunication.
Director of ITE Group for Central Asia and Caucasus Edward Strachan said the company intends to conduct 8 exhibitions a year in the next 5 years.
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Issue No.21(203), 2001
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