popular articles

BP relies on the ACE project to boost oil production in Azerbaijan

BP has two years to optimize its new ACE platform in the Caspian Sea, designed to counter declining production from the Azeri Chirag Gunashli complex.
BP mise sur le projet ACE pour relancer la production pétrolière en Azerbaïdjan.

Please share:

BP, a major player in the energy sector, recently announced that the ramp-up of its new Azeri Central East (ACE) oil facility in Azerbaijan will take around two years. The platform, inaugurated in April and representing an investment of $6 billion, is the first major facility added to the Azeri Chirag Gunashli (ACG) complex in a decade. The ACG complex is crucial to Azerbaijan’s oil production, marketed under the Azeri Light brand. This project is part of a growing demand for offshore platforms, essential for the future of the oil industry. At the Baku Energy Forum, BP Senior Vice President Gordon Birrell emphasized that the ACE project is highly automated and controlled from land, embodying “the platform of the future”. Currently, one well is in production and two more are scheduled to come on stream this year, bringing the platform’s production to 24,000 barrels per day (b/d) by the end of the year.

Development prospects and focus on Maximum Recovery

Asked about possible future projects, Birrell did not rule out this option, although the main focus remains the ACE platform. BP’s current strategy includes drilling new wells and improving recovery techniques to maximize production from the field. This approach will probably require the construction of new facilities in the long term. The ACE platform also marks a change in drilling strategy, targeting a shallower, less prolific formation known as Balakhany, with greater provision for gas and water injection to maximize production.

Exploration of New Gas Beds and Condensate Production

BP is also evaluating the results of drilling in 2023 to test deep gas layers beneath the ACG complex. However, Birrell did not specify whether potential development of these resources would require a new production sharing agreement or would be included in the current agreement, extended in 2017. At the same time, BP is concentrating on maintaining maximum production at the Shah Deniz gas complex, which supplies gas to Europe and produces significant volumes of condensate, which is integrated into Azeri Light production. Condensate production held steady at 99,000 b/d in the first quarter. The future of oil production in Azerbaijan depends largely on the success of the ACE project and BP’s initiatives to maximize the recovery of existing resources. Prospects for new gas strata and continued condensate production from Shah Deniz add a crucial dimension to BP’s energy strategy in the region. Future decisions on new projects and production sharing agreements will determine Azerbaijan’s ability to maintain its position in the global energy market.

Register free of charge for uninterrupted access.

Publicite

Recently published in

The new US oil tariffs of 10% and 25% on Canadian and Mexican imports could lead to a redirection of North American crude flows to other markets. Wood Mackenzie analyzes the implications for the three affected countries.
Russia will continue supplying oil to India under advantageous conditions despite U.S. sanctions affecting its energy sector. New Delhi relies on stable Russian deliveries to meet growing demand, consolidating a strategic partnership in a tense global market.
Russia will continue supplying oil to India under advantageous conditions despite U.S. sanctions affecting its energy sector. New Delhi relies on stable Russian deliveries to meet growing demand, consolidating a strategic partnership in a tense global market.
Petrobras aims to exploit a 10-billion-barrel deposit off the Amazon coast. While Ibama assesses the environmental impact, the Brazilian government supports the project, which could strengthen the country’s position in the global oil market.
Petrobras aims to exploit a 10-billion-barrel deposit off the Amazon coast. While Ibama assesses the environmental impact, the Brazilian government supports the project, which could strengthen the country’s position in the global oil market.
A fire broke out aboard the Russian oil tanker *Koala* after an explosion in the engine room, forcing the crew to evacuate the vessel. The accident, which occurred in the port of Ust-Luga, caused no casualties or oil spills, according to authorities.
A fire broke out aboard the Russian oil tanker *Koala* after an explosion in the engine room, forcing the crew to evacuate the vessel. The accident, which occurred in the port of Ust-Luga, caused no casualties or oil spills, according to authorities.
CNOOC Limited has announced the start of production for Phase I of the Bozhong 26-6 oilfield development project, located in Bohai Bay. With an expected production capacity of 22,300 barrels of oil equivalent per day in 2025, this strategic project strengthens China's energy supply.
The United States enacts new financial sanctions against an international network moving Iranian oil to China, with generated revenues funding military activities, according to Washington, sparking debate over the economic impact of such measures.
The United States enacts new financial sanctions against an international network moving Iranian oil to China, with generated revenues funding military activities, according to Washington, sparking debate over the economic impact of such measures.
The proposed eight new oil wells near Arcachon have sparked internal government disagreements. Agnès Pannier-Runacher, Minister of Ecological Transition, has voiced her opposition to this initiative, contradicting the previous statements of Christophe Béchu.
The proposed eight new oil wells near Arcachon have sparked internal government disagreements. Agnès Pannier-Runacher, Minister of Ecological Transition, has voiced her opposition to this initiative, contradicting the previous statements of Christophe Béchu.
Africa Oil Corp. and its investee Impact Oil & Gas are accelerating their offshore operations in Namibia. Following the drilling of Tamboti-1X, work continues with Marula-1X, targeting Albian reservoirs. The Venus project, scheduled for 2026, could mark a key milestone.
Africa Oil Corp. and its investee Impact Oil & Gas are accelerating their offshore operations in Namibia. Following the drilling of Tamboti-1X, work continues with Marula-1X, targeting Albian reservoirs. The Venus project, scheduled for 2026, could mark a key milestone.
Ecopetrol has finalized the purchase of Repsol's remaining 45% stake in Block CPO-09 for $452 million. This strategic acquisition strengthens the Colombian company's presence in the Llanos Orientales basin and consolidates its role in hydrocarbon exploration and production.
U.S. crude oil reserves saw an unexpected increase of 8.7 million barrels last week, far exceeding market forecasts. This rise is attributed to low refinery activity and higher imports, amid a context of downward pressure on prices.
U.S. crude oil reserves saw an unexpected increase of 8.7 million barrels last week, far exceeding market forecasts. This rise is attributed to low refinery activity and higher imports, amid a context of downward pressure on prices.
OMV, the Austrian hydrocarbons group, has announced a slight decline in its net profit for the year 2024. The company's financial results reflect a decrease in its margins in an economic environment marked by energy price volatility.
OMV, the Austrian hydrocarbons group, has announced a slight decline in its net profit for the year 2024. The company's financial results reflect a decrease in its margins in an economic environment marked by energy price volatility.
OPEC+ continues to increase its oil production, responding to global demand while ignoring Donald Trump's calls to slow down the rise. This decision to maintain the production increase schedule has direct implications for global markets.
OPEC+ continues to increase its oil production, responding to global demand while ignoring Donald Trump's calls to slow down the rise. This decision to maintain the production increase schedule has direct implications for global markets.
After two record years of mergers and acquisitions in the oil and gas sector, upstream M&A activity is expected to slow down in 2025. Despite a deal pipeline valued at $150 billion, geopolitical tensions and restrictive fiscal policies are limiting new opportunities.
Tullow Petroleum is focusing on reducing its debt after the cancellation of its merger project with Kosmos Energy. The company is exploring options to lighten its balance sheet and concentrate on its strategic activities.
Tullow Petroleum is focusing on reducing its debt after the cancellation of its merger project with Kosmos Energy. The company is exploring options to lighten its balance sheet and concentrate on its strategic activities.
The visit of a U.S. envoy to Nicolás Maduro paves the way for potential discussions on the future of oil sanctions. Between geopolitical stakes and commercial interests, the United States is looking to redefine its approach toward Venezuela.
The visit of a U.S. envoy to Nicolás Maduro paves the way for potential discussions on the future of oil sanctions. Between geopolitical stakes and commercial interests, the United States is looking to redefine its approach toward Venezuela.
Saudi Aramco plans to raise its official selling prices (OSP) in March, driven by China’s economic recovery and the redirection of Russian oil flows. Asian refiners are adapting to these new dynamics, influencing premiums on Middle Eastern crude.
Saudi Aramco plans to raise its official selling prices (OSP) in March, driven by China’s economic recovery and the redirection of Russian oil flows. Asian refiners are adapting to these new dynamics, influencing premiums on Middle Eastern crude.
Ukraine has claimed drone strikes on Russian energy infrastructure, affecting strategic facilities of Gazprom and other players. These attacks raise questions about supply and market stability in the region.
Ecopetrol Permian LLC and Occidental Petroleum Corp (Oxy) extend their agreement on the development of the Permian Basin, planning to drill 34 additional wells between April 2025 and June 2026. This extension aligns with the investment and expansion strategy of both companies.
Ecopetrol Permian LLC and Occidental Petroleum Corp (Oxy) extend their agreement on the development of the Permian Basin, planning to drill 34 additional wells between April 2025 and June 2026. This extension aligns with the investment and expansion strategy of both companies.
After a record year with nearly $800 million invested in 2024, U.S. Energy Development Corporation announces an investment program of up to $1 billion in 2025, with a focus on the Permian Basin.
After a record year with nearly $800 million invested in 2024, U.S. Energy Development Corporation announces an investment program of up to $1 billion in 2025, with a focus on the Permian Basin.
The U.S. Senate confirms Doug Burgum, governor of North Dakota, for the management of federal lands and national parks under the Trump administration, reinforcing the strategy of hydrocarbon production in the United States.
The U.S. Senate confirms Doug Burgum, governor of North Dakota, for the management of federal lands and national parks under the Trump administration, reinforcing the strategy of hydrocarbon production in the United States.
Chevron reports mixed Q4 2024 results: increased production and rising revenue partially offset declining refining margins.
ExxonMobil records a net profit of $7.61 billion in 4Q, surpassing consensus estimates, while Chevron reports results affected by declining refining margins.
ExxonMobil records a net profit of $7.61 billion in 4Q, surpassing consensus estimates, while Chevron reports results affected by declining refining margins.
Trafigura, the major commodities trading giant, has been convicted by the Swiss Federal Criminal Court for corrupting a foreign public official in Angola, marking a precedent in the commodities sector.
Trafigura, the major commodities trading giant, has been convicted by the Swiss Federal Criminal Court for corrupting a foreign public official in Angola, marking a precedent in the commodities sector.
Shell Canada exchanges its remaining 10% stake in the Albian mines for an additional 10% interest in the Scotford upgrader and Quest carbon capture and storage (CCS) facility, focusing on refining and carbon capture projects while exiting oil sands operations.
Shell Canada exchanges its remaining 10% stake in the Albian mines for an additional 10% interest in the Scotford upgrader and Quest carbon capture and storage (CCS) facility, focusing on refining and carbon capture projects while exiting oil sands operations.

Advertising