BP Amoco makes major gas condensate find in Azerbaijan

Petroleum News Alaska Staff

BP Amoco said July 12 that it has made a significant gas condensate discovery in Azerbaijan. The announcement follows completion of the SDX 1 well, the first to be drilled by project participants on the offshore prospect known as Shah Deniz in the Caspian Sea.

SDX 1 was drilled to a total depth of 6,316 meters and encountered gas condensate in three separate horizons, with a total net pay zone of 220 meters.

The lowest horizon was tested and gas flowed at the maximum capacity of the on-board equipment of 50 million standard cubic feet a day, with 2,965 barrels a day of condensate. The well has now been suspended.

BP Amoco said that results from the SDX 1 well “suggest a significant resource in the structure — enough to justify the early establishment of a joint working group (Azerbaijan, SOCAR, Shah Deniz) to explore the possibilities for material gas exports.”

The second well on the Shah Deniz structure (SDX 2), six kilometers to the south of SDX 1, started drilling in 348 meters water depth with the rig ‘Istiglal’ on May 6. It is planned to complete this well before the middle of October.

BP Amoco is the operator at Shah Deniz with 25.5 percent; other participants include: Statoil Azerbajian A.S. 25.5 percent; SOCAR Commercial Affiliate 10 percent; Elf Petroleum Azerbaijan B.V. 10 percent; LukAgip N.V. 10 per cent; Oil Industries Engineering and Construction 10 percent; and Turkish Petroleum Overseas Company Limited 9 percent.