• 4 minutes China 2019 - Orwell was 35 years out
  • 7 minutes Wonders of US Shale: US Shale Benefits: The U.S. leads global petroleum and natural gas production with record growth in 2018
  • 11 minutes Trump will capitulate on the trade war
  • 14 minutes Glory to Hong Kong
  • 11 mins China's Blueprint For Global Power
  • 2 hours ABC of Brexit, economy wise, where to find sites, links to articles ?
  • 8 hours Erdogan Holds All The Cards ... 3.6 Million Of Them
  • 12 hours Yesterday Angela Merkel stopped Trump technology war on China – the moral of the story is do not eavesdrop on ladies with high ethical standards
  • 59 mins PETROLEUM for humanity 
  • 6 hours Deepwater GOM Project Claims Industry First
  • 2 hours Brexit agreement
  • 7 hours KURDS LEFT HIGH AND DRY TO DIE?
  • 10 hours Idiotic Environmental Predictions
  • 2 hours Bloomberg: shale slowing. Third wave of shale coming.
  • 10 mins Joe Biden, his son Hunter Biden, Ukraine Oil & Gas exploration company Burisma, and 2020 U.S. election shenanigans
  • 2 hours Why don't the other GOP candidates get mention?

Breaking News:

Drilling Giant Posts $11 Billion Loss

Alt Text

What The Market Is Overlooking In The Occidental Deal

Occidental Petroleum has caught a…

Alt Text

How To Play A Recovery In Oil Prices?

A realistic correction in the…

Charles Kennedy

Charles Kennedy

Charles is a writer for Oilprice.com

More Info

Premium Content

Total to Sell Stake in Azerbaijan’s Shah Deniz

French oil giant Total SA is planning to sell its 10% stake in the Shah Deniz II gas field in Azerbaijan, making it the second major to downsize in the venue in less than a year.  

Total is moving to divest in Azerbaijan due to costs as the project enters its $28-billion second phase, and is in line with plans to sell off up to $20 billion is assets between 2012 and then end of 2014.

Total also said it was shifting focus from Shah Deniz to another Azeri gas field, Absheron, in which it owns a 40% stake.

Exploratory drilling in Absheron discovered up to 300 billion cubic meters of gas resources, which were declared commercial in 2012.

In December last year, Norway’s Statoil—also seeking to reduce costs--sold a 10% stake in Azerbaijan for $1.45 billion to British oil giant BP and the Azeri state-owned Socar, reducing Statoil’s stake to 15.5%.

According to BP, Shah Deniz—which Europe is hungrily eyeing as an alternative energy provider—will eventually reach yearly production of 16 billion cubic meters, which is equivalent to Europe’s annual gas consumption.

Aside from Total, BP, Statoil and Socar, Russia’s second-largest producer, Lukoil, and Turkish and Iranian state oil companies also have interests in Shah Deniz.  

Turkish state gas and pipeline company Botas has confirmed it is in talks to buy Total's stake in the project. Botas is developing the pipeline section to pump Azeri gas into Turkey and onward towards the European Union.

Socar may also be interested in increasing its stake in Shah Deniz.

Azeri gas will be piped to Turkey’s eastern border and then linked up with Greece and then further into the European Union, where its supply could help reduce dependence on Russian gas. The second phase of development is slated to begin production in 2018.

The gas field’s second development phase, which includes the pipeline, will cost an estimated $28 billion.

By Charles Kennedy of Oilprice.com




Download The Free Oilprice App Today

Back to homepage



Leave a comment

Leave a comment




Oilprice - The No. 1 Source for Oil & Energy News
Download on the App Store Get it on Google Play