Boston, MA -- (ReleaseWire) -- 06/03/2014 -- BMI View: Despite planned investment in order to stabilise output from Azerbaijan's ACG complex, the long - term outlook for liquids is bearish notwithstanding near - term gains from the USD 6nn Chirag Oil Project (COP). The greatest source of upside risk to our oil outlook comes from our bullish view on Azeri gas, with a number of major untapped gas fields holding liquids potential as well. D espite a number of large fields having already been identified for exploration and appraisal, a shortage of rigs and the technical challenges of the Caspian's operating environment have slowed development. In the absence of firm timelines, we have yet to include these projects in our forecast but note the risks for gas are weighted heavily to upside as progress on strategically significant export infrastructure into Europe continues to advance.
View Full Report Details and Table of Contents
The key developments in Azerbaijan's oil and gas sector are:
- While BP has reportedly stabilised output at the key Azeri-Chirag-Guneshli (ACG) field, we maintain a largely bearish outlook for oil production given challenges encountered at the field to date.
- Data from the EIA indicates that production continues to disappoint and based on EIA figures we estimate crude output of 883,000 barrels per day (b/d) for 2013. This figure is slightly below our previous forecast of 898,0000b/d for 2013. From 2014 onwards, first oil from the Chirag Oil Project (COP), part of the ACG complex, will help to offset some but not all of the lower-targeted volumes from other production sites. The West Chirag or COP is a USD6bn further development plan for ACG. The design oil capacity of the new installation is 183,000b/d; however, there were reports that further development of the complex could support further production increases. Yet we note based on setbacks at the ACG field to date there are risks that output could surprised to the downside.
- We retain our long-term view that on the back of production challenges at ACG and a failure to...
The Azerbaijan Oil & Gas Report has been researched at source and features Business Monitor International (BMI)'s independent forecasts for Azerbaijan including major indicators for oil, gas and LNG, covering all major indicators including reserves, production, consumption, refining capacity, prices, export volumes and values. The report includes full analysis of industry trends and prospects, national and multinational companies and changes in the regulatory environment.
BMI's Azerbaijan Oil & Gas Report provides professionals, consultancies, government departments, regulatory bodies and researchers with independent forecasts and competitive intelligence on the Azerbaijani oil and gas industry.
About Fast Market Research
Fast Market Research is a leading distributor of market research and business information. Representing the world's top research publishers and analysts, we provide quick and easy access to the best competitive intelligence available. Our unbiased, expert staff is always available to help you find the right research to fit your requirements and your budget. For more information about these or related research reports, please visit our website at http://www.fastmr.com or call us at 1.800.844.8156.
Browse all Energy research reports at Fast Market Research
You may also be interested in these related reports:
- Israel Petrochemicals Report Q3 2014
- Iran Petrochemicals Report Q3 2014
- Kuwait Petrochemicals Report Q3 2014
- Qatar Petrochemicals Report Q3 2014
- Algeria Petrochemicals Report Q3 2014
- Egypt Petrochemicals Report Q3 2014
- United Arab Emirates Petrochemicals Report Q3 2014
- Colombia Petrochemicals Report 2014
- Hungary Petrochemicals Report Q2 2014
- Indonesia Petrochemicals Report Q2 2014