2017 August 23 ( Wednesday ) 10:29:59
- Heads of SOCAR and Gazprom Meet Again
- SOCAR Commissions Offshore Platform after Overhaul
- Income of Oil Fund of Azerbaijan Exceeds $ 133.5 Billion
- Eurasia Drilling Suspends Astra Floating Jack-up Drilling Rig in Caspian Sea Due to Lack of Contracts
- Assets of Norwegian Oil Foundation Exceed $ 1 Trillion
- Moeller-Maersk Sells Its Oil and Gas Business to Total for $ 7.5 Billion
Baku/23.08.17/ Turan: Gazprom and the State Oil Company of Azerbaijan (SOCAR) held talks on issues related to the supply of natural gas to Azerbaijan.
Such a message was spread by the Russian gas holding following the meeting between the head of Gazprom Alexei Miller and the President of SOCAR Rovnag Abdullayev.
The meeting took place in St. Petersburg on August 21. "Issues related to the supply of natural gas to Azerbaijan were discussed at the meeting," Gazprom said.
Other details of the talks are not reported, which is quite expected. The previous meeting between Miller and Abdullayev in July 2017 was also private.
Previously, Russian media reported that SOCAR and Gazprom were negotiating to increase gas supplies to Azerbaijan in the volume of 3-5 bcm per year. But then SOCAR denied this information. In general, the State Oil Company of Azerbaijan is very cautious in statements when it comes to the supply of Russian gas.
As it became known to Turan IA from informed sources, periodic negotiations between SOCAR and Gazprom are conducted with a view to creating a mutually beneficial platform for further cooperation. And this cooperation is not limited to operations on purchase and sale of gas. The issues of joint participation in almost all segments of the gas business are worked out. - 12B-
Baku/23.08.17/ Turan: Production Association Azneft (SOCAR"s production entity) commissioned offshore platform No. 1883 on the Gryazevaya Sopka (Mud Hill) field after overhaul, SOCAR said.
"The general contractor of overhaul was the construction trust of Neftgaztikinti of SOCAR. The offshore platform was put into operation after inspection by the State Commission for compliance with construction norms and the requirements of the repair work carried out," the information says.
The Gryazevaya Sopka field is located next to the Neft Dashlary (Oil Rocks) deposit. These areas began to be developed in 1952. -12B
Baku/23.08.17/ Turan: The income of the State Oil Fund of Azerbaijan (SOFAZ) for the entire period of activity amounted to more than $ 133.5 billion.
The SOFAZ income is formed both through investment activities and through income from the sale of oil and gas.
"As of the end of July 2017, the income from the Fund"s assets management for the whole period of activity amounted to almost $ 4.77 billion. The income from the sale of profitable oil and gas at the same date amounted to $ 128.74 billion," SOFAZ said.
SOFAZ"s assets in the first half of 2017 increased by 4.96% compared to the beginning of 2017 ($ 33.147 billion) and amounted to $ 34.79 billion. -12D
Eurasia Drilling Suspends Astra Floating Jack-up Drilling Rig in Caspian Sea Due to Lack of Contracts
Baku/23.08.17/ Turan: Eurasia Drilling Company (EDC) has suspended the Astra floating jack-up drilling rig on the Caspian Sea shelf due to a lack of contracts.
As stated in the materials of the company, Astra was not contracted after December 2015 and was in conservation in Makhachkala. The company hoped to obtain a contract in 2017 and to compensate for the costs of the rig"s downtime.
"However, in 2016, the market continued to decline in the Caspian region, while the company was experiencing significant price pressure on existing contracts. The company was losing hope for the resumption of work of Astra in the near future, and the drilling rig was finally stopped in the second quarter of 2016," the company reported.
As a result, at the end of 2016, Eurasia Drilling recognized an asset impairment loss of $ 9.1 million in the drilling segment on the shelf.
In total, Eurasia Drilling owns four rigs - Mercury, Neptune, Saturn and Astra. All of them carry out work in the Caspian under foreign exchange contracts.
Eurasia Drilling acquired Astra from Lukoil in 2006 for drilling in the Russian, Kazakh and Turkmen sectors of the Caspian Sea.
Earlier it was reported that Lukoil contracted Astra in January 2014 for a period of three years.
Neptune started drilling in the Turkmen sector of the Caspian Sea in 2014. It was assumed that first drilling for 9 months will be carried out for the Anglo-Arab Dragon Oil, after which the drilling for Lukoil will commence before the fourth quarter of 2019.
The drilling rig Mercury was built in 2014 and was also contracted by Dragon Oil. The work of the floating jack-up drilling rig was to start after Neptune switched to fulfilling the contract with Lukoil. The contract envisaged work for Dragon Oil before the end of 2016.
Another drilling rig, Saturn, was acquired from Transocean in 2011 and was contracted by Petronas Carigali. The contract was expected to end in early 2016, but the Malaysian company terminated it ahead of schedule with EDC in October 2015.
* Eurasia Drilling is controlled by Alexander Dzhaparidze (about 31% of the shares) and his partner, the former head of Rosneft Alexander Putilov (20%). A small package belongs to the head of Lukoil Vaghit Alekperov. -0
Baku/23.08.17/ Turan: Approximately half of the current funds of the Norwegian oil foundation fall on state funding, and the rest has been received due to the successful investment of the money received.
The State Pension Foundation (sovereign investment fund) in Norway earned $ 63.2 billion in H1 of 2017. This is a record result of the half-year in the entire 20-year history of the investment fund, the Central Bank of Norway writes.
The volume of assets managed by the Foundation for the first time exceeded $ 1 trillion, reaching $ 1.017 trillion as of June 30. This means that for every citizen of Norway (the population is 5.2 million people) there is $ 191,000 now.
The maximum return was shown by investments in shares - 9.09%. The second result was for real estate - 2.69% yield, and the third - for bonds with 1.9%.
The total interest yield in the half-year was 6.5%. According to The Wall Street Journal, this is a one-time result secured by the stock market records in 2017, despite extremely low interest rates and cheap raw materials. From the low of 2009 to August 2017, the Dow Jones index more than tripled, the newspaper recalls.
"The stock market has grown particularly well this year... We cannot expect the same high returns in the future. The current record result is mainly due to the volume of the Foundation itself," says Tronn Grande, deputy head of the investment division of the Central Bank of Norway.
The global division of the Foundation (Statens pensjonsfond Utland, formerly the Norwegian Petroleum Foundation) holds 1.3% of all shares issued in the world.
State injections into the Foundation began to be made in 1996 at the expense of state oil revenues in order to secure the Norwegian economy, which depends on energy prices, from the most severe shocks, and to ensure the stability of life for future generations of Norwegians. Approximately half of the current funds of the Foundation come from public funding, and the rest has been obtained through the successful investment of the money received.
The right to invest the Foundation"s funds in shares was received by the Norwegian Central Bank in 1998. The national division of the Foundation, Statens pensjonsfond Norge, is engaged in investing the Norwegian pension savings themselves. The size of its assets is much more modest - $ 26.5 billion.
At the end of the second quarter, 65.1% of the Foundation"s assets were invested in the shares, 32.4% - in bonds, and 2.5% - in real estate. --0
Baku/23.08.17/ Turan: Danish A.P. Moeller-Maersk A / S reached an agreement on the sale of its total oil and gas division Maersk Oil to French Total SA for $ 7.45 billion.
As part of the deal, Moeller-Maersk will receive 97.5 million shares of Total (about 3.76% of the capital), the value of which is estimated at $ 4.95 billion, according to the press release from the Danish company.
Also, Total will assume short-term liabilities of $ 2.5 billion, which Moeller-Maersk will transfer to Maersk Oil. The French company will pay this debt to Moeller-Maersk immediately after the transaction is completed.
The transaction is planned to be closed in the first quarter of 2018.
* A.P. Moeller-Maersk Group is a diversified corporation represented in 130 countries. The headquarters is located in Copenhagen. Its divisions, including the world"s largest shipping line and companies engaged in energy, manufacturing and logistics, employ about 88 thousand people. The group owns 40 container terminals around the world (it also manages the terminal of SOCAR Petlim in Turkey). In addition, the group is involved in a limited amount in the production of oil and natural gas and shipbuilding, and it also owns a supermarket chain and a postal company.