Yanan Tava, Atashgah
and Mugan Daniz
On December 25, 1998, four Japanese companies signed a contract
with SOCAR (State Oil Company of Azerbaijan Republic) for development
of three offshore oil prospects in the Azerbaijan sector of the
Caspian Sea. The consortium includes Japan Petroleum Exploration
Corp. (JAPEX), Teikoku Oil Co., Indonesia Petroleum Ltd. (INPEX)
The contract area of Yanan Tava, Atashgah and Mugan Daniz covers
510 sq km and contains estimated oil reserves of 75-90 million
tons. The $2.3 billion exploration, development and production
sharing agreement marks the first time that Japanese petroleum
developers have undertaken oil exploration in the Caspian Sea
outside of a consortium of international oil players. The Japanese
company Itochu is already a member of both the AIOC and the NAOC
Consortiums. Mitsui is a member of the Eni-operated Kurdashi
project in the Caspian.
The Signing Ceremony for the
Japanese Consortium for the exploration and development of Yanan
Tava, Atashgah and Mugan Daniz Prospects. The contract was signed
on December 25, 1998, the 16th contract that SOCAR has signed
with international oil companies. The consortium consists of
JAPEX (operator), Teikoku Oil, Indonesia Petroleum (INPEX) and
Signed December 25, 1998
Operated by JAPEX
Map: Click to enlarge
Japanese Consortium marks the 16th contract that Azerbaijan has
signed with international oil companies; thirteen are for offshore
projects and seven have been signed in 1998 alone. As all previous
contracts have been signed primarily with Western international
oil companies, President Aliyev noted that this occasion marked
a new page in the history of oil in Azerbaijan which would play
a special role in expanding Azerbaijani-Japanese economic cooperation.
behalf of the Japanese government, Japan's Ambassador to Russia
and Azerbaijan, Takihiro Togo, said that Japan attaches a particular
importance to broadening Azerbaijani-Japanese economic relations
and considers Azerbaijan to be an important economic partner.
He pointed to the historical connections between Azerbaijan and
Japan via the ancient Silk Route.
The following company representatives signed the contract: SOCAR
President Natig Aliyev, JAPEX President Kazuko Vakasuki, INPEX
General Executive Director Minoro Nagata, Itochu President Kharumichi
Uneda, and Teikoku General Executive Director Tosio Simada. The
signing ceremony was attended by government officials, heads
of foreign companies operating in Azerbaijan, leaders of diplomatic
missions and Azerbaijani members of parliament. JAPEX is the
From Azerbaijan International (6.4) Winter 1998.
© Azerbaijan International 1998. All rights reserved.
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