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April 23, 2019updated 29 Jul 2020 12:28pm

BP and partners to invest $6bn in ACE project offshore Azerbaijan

BP, along with its project partners, is set to invest $6bn in the Azeri Central East (ACE) project, offshore Azerbaijan.

BP , along with its project partners , is set to invest $ 6bn in the Azeri Central East (ACE) project offshore Azerbaijan .

The ACE project represents the next stage of the development of the Azeri Chirag Deepwater Gunashli ( Acg ) oilfield complex in the Caspian Sea .

The investment decision follows an agreement with the partners to extend the Acg production sharing agreement ( PSA ) to 2049 .

BP operates the Acg PSA with a 30 . 37 % stake . The other partners are SOCAR / AzACG ( 25 %), Chevron ( 9 . 57 %), Inpex ( 9 . 31 %), Equinor ( 7 . 27 %), ExxonMobil ( 6 . 79 %), TPAO ( 5 . 73 %), Itochu ( 3 . 65 %) and ONGC Videsh ( 2 . 31 %).

The ACE project encompasses the construction of a new offshore platform and associated facilities to process up to 100 , 000 barrels of oil per day ( bopd ). Situated in a water depth of approximately 140m , the ACE project lies between the existing Central Azeri and East Azeri platforms . < div class =” rightpullquote “>” Working together over the past 25 years , this remarkable partnership has turned these world class assets into tremendous benefits for the people of Azerbaijan .” div > & nbsp ;

As part of the project works , new infield pipelines will be laid to transport oil and gas from the ACE platform to the existing Acg Phase 2 export pipelines and subsequently to the onshore Sangachal Terminal .

Construction activities are scheduled to commence in 2019 and will continue through mid 2022 . The platform is expected to become online in 2023 and will produce 300 million barrels of oil throughout its life .

BP chief executive Bob Dudley said : “ Working together over the past 25 years , this remarkable partnership has turned these world class assets into tremendous benefits for the people of Azerbaijan .

The ACE extension builds on that legacy and helps ensure that the next quarter century will be just as bright .”

Following the signing of the original PSA in 1994 , more than $ 36bn has been invested for the development of the Acg area .

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