SOCAR, Gazprom agree to expand strategic partnership

The State Oil Company of the Azerbaijan Republic (SOCAR) and Russia’s Gazprom company have reached an agreement to broaden the multifaceted strategic partnership.

"The mutually beneficial partnership between Gazprom and SOCAR is developing dynamically. This includes the 'North-South' project and the signing of a comprehensive scientific and technical cooperation programme scheduled for September 2024. An agreement has been reached to expand our strategic partnership in various spheres," Miller noted, Caliber.Az reports citing Gazprom.

A Gazprom delegation, led by Gazprom CEO Alexey Miller, participated in the events related to the state visit of Russian President Vladimir Putin to Azerbaijan. President Putin was in Baku for a two-day state visit on August 18.

SOCAR, the State Oil Company of Azerbaijan Republic, is a prominent state-owned enterprise responsible for the exploration, production, and distribution of oil and gas in Azerbaijan. Established in 1992, SOCAR plays a crucial role in the country's energy sector, overseeing a range of activities from upstream exploration to downstream refining and marketing.

The company operates several key assets, including the major offshore fields in the Caspian Sea such as Gunashli and Azeri-Chirag-Gunashli, which are integral to Azerbaijan's oil production. SOCAR is also involved in various international projects and has investments in multiple countries, reflecting its global presence.

The history of Gazprom company dates back to 1998, when Gazprom, Zarubezhneft, and Stroytransgaz formed a joint venture called Zarubezhneftegaz to promote their interests in overseas projects.

Back in the late 2000s, it was clear that Gazprom’s project activities abroad had to be streamlined by establishing a single dedicated company with its organisation. It was supposed to absorb necessary potential — technologically, professionally, and financially — to deliver upstream projects overseas and provide lean management based on a single-window principle.

On February 4, 2011, a decision was made to assign this responsibility to Gazprom ЕР International, followed by a three-year merger between Gazprom ЕР International B.V. and Gazprom zarubezhneftegaz.

The key functions and objectives of Gazprom EP International include ownership and management of subsidiaries prospecting, exploring and developing hydrocarbon fields outside the Russian Federation; searching, evaluating, and acquiring new petroleum assets in the world's major oil and gas regions; managing projects and monitoring operating activities; representing Gazprom before foreign private and state-owned petroleum companies.