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Thursday, March 30, 2017

Petronas acquires 15% stake in Azerbaijan oil field

Malaysian oil and gas company Petronas has acquired a 15.5 percent interest in the Shah Deniz oil field, the U.S. – Azerbaijan Chamber of Commerce said Tuesday.

Petronas had entered a purchasing agreement with Statoil of Norway that would transfer that company's share in the field, worth $2.25 billion, to Petronas.

"The acquisition is part of our strategy to show our presence here, and is part of our long-term strategy to grow our business here." Petronas Azerbaijan Country Chair Zainal Abidin Zainudin said. "We are here for the long run, we are here to stay for as long as there is good business sense to be here."
  
Zainudin said the acquisition increases the company's strategic position in Azerbaijan.

The Shah Deniz field, approximately 45 miles from Baku, was discovered in the South Caspian Sea in 1999.