BAKU, Azerbaijan - President Ilham Aliyev has signed a law approving the Guba-Khazaryani oil and gas agreement and authorizing its implementation.
The agreement covers exploration, development and production-sharing activities in parts of the Guba, Gusar, Shabran, Siyazan and Khizi districts in northeastern Azerbaijan.
The parties are the State Oil Company of Azerbaijan, or SOCAR; Gran Tierra Energy (Azerbaijan) GmbH; and SOCAR Quba-Xəzəryanı. Azerbaijan’s Milli Majlis had approved the agreement before the president signed the law.
Approval Clears the Way for Field Work
The president’s signature completes the domestic approval process and provides the legal basis for the project to move into implementation. Neither estimated reserves nor planned production volumes have been officially announced.
Gran Tierra Energy has said it will operate the project with a 65% interest, while SOCAR will retain 35%. The planned work program includes geophysical studies, three-dimensional seismic surveys and exploration drilling.
The onshore contract area represents a new exploration focus in northeastern Azerbaijan.
Sources: Vesti Baku; Gran Tierra Energy statement.