A consortium of companies, led by BP, has been awarded contracts worth $841 million at Azerbaijan’s Shah Deniz II gas field.
The field is being developed by consortium partners BP, Statoil, Azeri state energy company SOCAR and others, offering an alternative gas supplier for Europe as the continent tries to reduce reliance on Russian energy.
Shah Deniz I has been pumping gas since 2006 and has an annual production capacity of about 10 bcm of natural gas.
Shah Deniz II is expected to produce 16 bcm of gas per year from around 2019, with 10 bcm earmarked for Europe and 6 bcm for Turkey.
The Shah Deniz consortium said the contracts included a $528 million contract for the construction and commissioning of support of facilities in Georgia, including an access road and compressor stations.
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