SOCAR suspends exploitation of non-profitable fields

SOCAR suspends exploitation of non-profitable fields
  • Clock-gray 12:55
  • calendar-gray 26 August 2020

SOCAR has suspended non-profitable fields within the framework of OPEC+ Agreement, but a major part of the production is profitable, as the price of a barrel of Azerbaijani oil has been USD 20, even much less in April, Ibrahim Ahmadov, head of Public Relations ad Events Management Department of SOCAR said in an interview with RIA Novosti, APA-Economics reports.

"We are planning to follow quotas, agreed within the framework of OPEC+ initiative, and approved by the Azerbaijani government in the oil production field. It will not only help to stabilize the market, but also increase the profitability of our operations by suspending exploration of non-profitable fields under these circumstances. At the same time, if oil prices decrease at the level of April or lower, oil production will keep its profitability", said I. Ahmadov.

According to him, the price of a barrel of Azeri Light was USD 20,48 in April, while USD 42-44 in June-July on average.

 

APA-Economics

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