Azerigaz Production Union (Azerigaz), under the umbrella of the State Oil Company of Azerbaijan Republic (SOCAR), and United Arab Emirates-based Esyasoft have entered into a $480m (816m manat) contract to develop a smart gas network in Azerbaijan, reported the Azerbaijan State News Agency.

The contract involving the design, installation and commissioning of a smart gas network is set to introduce advanced technologies to improve operational efficiency, reduce losses and enhance customer satisfaction.

Spanning approximately 14 years, the project includes the installation of two-and-a-half million smart meters as well as system support phases.

This substantial investment will facilitate the digitalisation of Azerbaijan's gas network, incorporating smart sensors, a digital solutions lab, personnel training, international knowledge exchange and the application of AI.

Additionally, the initiative will ensure secure data storage within the government cloud and establish a modern control centre.

Consumers stand to gain from the smart gas network through more precise billing, real-time usage tracking, expedited issue resolution and digital access to consumption data.

The project underscores Azerigaz's commitment to modernising its services and enhancing public satisfaction with its offerings.

The contract signing, which took place on 17 July, builds on a prior cooperation agreement between SOCAR and Esyasoft during COP29 in Baku.

SOCAR president Rovshan Najaf, Azerigaz PU director-general Azer Mammadov and Esyasoft Holding Group CEO Bipin Chandra officiated the signing.

In related developments, SOCAR has reportedly forged new partnerships with ExxonMobil and BP to continue oil and gas exploration in Azerbaijan.

These collaborations are expected to maintain the nation's oil production at around 582,000 barrels per day for the next five years, supported by Western energy investments.