It’s expected to invest more than 20 billion dollars in Azerbaijan’s upstream sector between 2018 and 2025, – Ashley Sherman, Senior Caspian Research Analyst at Wood Mackenzie told.
“Annual investment in Azerbaijan’s energy sector peaked in 2014-2015, when the expenditure was at its greatest for Shah Deniz Phase Two and the Southern Gas Corridor. We do not expect future annual investment to match these highs, as upstream projects will be smaller in scale than the 20 billion dollars Shah Deniz Phase Two,”- she added.
She stressed that it’s expected to invest more than 20 billion dollars in Azerbaijan’s upstream sector between 2018 and 2025: “This includes the new oil platform at Azeri Central East, for which a Final Investment Decision is targeted in 2019.”
According to her, Azerbaijan must compete for investment against other attractive oil and gas opportunities in the region and across the globe. The profitability of gas exports and cost savings will be the crucial factors.
The volume of total investments of the European Bank for Reconstruction and Development in Azerbaijan increased by 225 million euros in the first two months of 2018 and amounted to 3.042 billion euros by late February 2018. As of Jan.1, 2018, the EBRD allocated 2.817 billion euros to Azerbaijan.
According to the information on the bank’s website, the share of the private sector in total volume of investments was 26 percent, which is seven percentage points less than in early 2018.
In total, the EBRD implemented 165 projects in Azerbaijan. As of late February 2018, the portfolio of active projects amounted to 1.418 billion euros, which is 20.6 percent higher than the figure in late 2017.
The big amount of investments in educational projects is also notable in Azerbaijan. BP P.L.C. jointly with its partners developing the Azeri-Chirag-Gunashli block of fields and the Shah Deniz field, invested more than 2 million dollars in the School of Project Management, designed to train professional project managers from 2011 to 2018, – Bakhtiyar Aslanbayli, BP Azerbaijan Vice President for Communications and External Affairs, Strategy in Azerbaijan, Georgia and Turkey said.
The School of Project Management consists of several modules, namely, project management, management and communication, risk management, budget planning and control, application of management tools and preparation for the examination of a project management specialist. The school was established in January 2011 and since then 377 people have graduated it.
Volume of investments in Azerbaijan steadily increases
