Hungary's MVM Group secures stake in Shah Deniz gas project

Hungary’s MVM Group has completed the acquisition of a 5% stake in the Shah Deniz gas field development project and a 4% stake in the South Caucasus Pipeline Company.

The shares were purchased from Cenub Qaz Dehlizi CJSC (CQD) and Azerbaijan Gas Supply Company Limited (AGSC), respectively, Caliber.Az reports referring to local media sources.

The transaction was finalized on August 30, 2024. According to MVM Group, this strategic move will significantly enhance its international footprint and diversify its position within the natural gas value chain. The acquisition aligns with the European Union's objectives to diversify gas supplies and supports MVM Group's national energy strategy and growth plans.

MVM Group highlighted that the Shah Deniz field has produced over 225 billion cubic meters of gas and 380 million barrels of condensate since its development. It ranks among the world’s largest gas fields, with an annual production capacity of approximately 29 billion cubic meters of gas and 60 million barrels of condensate.

The agreement for these stakes was initially signed on June 5, 2024, during Baku Energy Week. MVM Group CEO Karoly Matrai emphasized at the Baku Energy Forum that this deal represents a significant milestone in the company’s strategy, crucial for diversifying gas supplies and reducing reliance on a single source.