highlightsofoperations

highlights of operations

Through wholly owned subsidiary Chevron Khazar, Ltd., Chevron has important pipeline and oil production investments in Azerbaijan and, therefore, strong ties to the nation’s economy.

Our work in Azerbaijan began in 1994, when the company obtained an interest in the Azerbaijan International Operating Company (AIOC), which produces and develops offshore crude oil reserves from the Azeri-Chirag-Gunashli (ACG) project in the Caspian Sea. 

Chevron is a partner in the Baku-Tbilisi-Ceyhan (BTC) Pipeline, which transports oil from Baku, Azerbaijan, through Georgia to deepwater port facilities at Ceyhan, Turkey, on the Mediterranean Sea. The pipeline delivered its first cargo of oil in 2006.

Chevron and the AIOC invest in the training and development of local staff. About 90 percent of all Chevron employees, supervisors and managers in Azerbaijan are Azerbaijani nationals.

businessportfolio

business portfolio

exploration and production

Chevron has an 11.3 percent nonoperated working interest in the AIOC and the crude oil production from the ACG fields. Oil production at the fields began in 1997 and has been developed in phases. In 2015, average net daily production was 32,000 barrels of crude oil and 12 million cubic feet of natural gas.

A majority of ACG oil makes its way to market through the BTC Pipeline. The AIOC also relies on its Western Route Export Pipeline (WREP) to transport its production.

We support the joint venture with technical expertise in areas such as reservoir management, well completions, pipeline construction and subsea facilities.

Azerbaijan has a long history of oil production. The nation had its first production peak in the mid-1940s and then experienced a dramatic decline after World War II. Continued production from the ACG project and the development of new fields in the Caspian Sea have revived Azerbaijan’s position as a major oil-producing nation.

The deepwater ACG Chirag Oil Project has further developed the Chirag and Gunashli fields. The single, integrated 48-slot drilling and processing platform sits between the Chirag platform and the deepwater Gunashli offshore complex. The wells target the Pereriv and Balakhany reservoirs. The Chirag Oil Project ramped up production in 2015, and drilling activities continue.

pipelines

Chevron has an 8.9 percent interest in the BTC Pipeline affiliate, which transports the majority of ACG production from Baku, Azerbaijan, through Georgia to the Mediterranean deepwater port of Ceyhan, Turkey.

AIOC production is exported primarily via the BTC Pipeline and the WREP, which is operated by the AIOC. The 1,099-mile (1,768-km) BTC Pipeline has a capacity of 1 million barrels per day. The WREP runs 515 miles (829 km) from Baku, Azerbaijan, to the terminal at Supsa, Georgia, on the Black Sea, and has a capacity of 100,000 barrels per day.

marketing and retail

Chevron markets lubricants, coolants and fuel treatments under the Texaco®, Havoline®, Ursa® and Techron® brands for consumer, commercial and industrial use in Azerbaijan through our authorized distributor.

inthecommunity

in the community

Chevron and our partners in the AIOC and the BTC Pipeline are making investments that benefit many communities in Azerbaijan.

The investments have generated improvements to the country’s medical facilities, schools and roads. Working with our partners, we’ve provided training for medical staff, supplied medical aid to local residents, and offered microloans to entrepreneurs and training to farmers. We have implemented major development initiatives aimed at building skills and capabilities in local communities, improving people’s access to social infrastructure and helping them generate sustainable livelihoods.

We continue to support the Caspian Compassion Project, which provides free eye examinations, surgery and treatment for residents of Azerbaijan. A team of eye specialists provides free assistance for elderly and disadvantaged people.

Chevron supports Youth Fund Azerbaijan programs in eight regions of the country. The programs include community projects designed to:

  • Raise awareness about drug addiction
  • Socially integrate children who have physical and mental disabilities
  • Protect the environment
  • Help people improve their lives

Chevron also supports Junior Achievement Azerbaijan by co-sponsoring its School Economics Education Program. The program offers students and teachers economic and business training. Secondary school and college students learn both practical and theoretical economic principles that foster sound business and entrepreneurial skills and promote financial literacy, thereby helping to develop the nation’s workforce.

recordofachievement

record of achievement

In 1997, Chevron signed an agreement to explore the Absheron Offshore Block, a deepwater structure in the southern Caspian Sea.

After conducting a 3-D seismic exploration program, we drilled an exploratory well in the block in 2001 that proved unsuccessful.

Our participation in Azerbaijan’s economy grew significantly when Chevron acquired Unocal in 2005.

We took over Unocal’s interest in the Azerbaijan International Operating Company, which produces and develops offshore crude oil reserves in the Caspian Sea from the Azeri-Chirag-Gunashli project. With that, Chevron also became a partner in the Baku-Tbilisi-Ceyhan Pipeline.

In 2006, the pipeline reached a historic milestone with the delivery of its first crude oil to world markets.

contactus

contact us

Chevron Khazar, Ltd.

Landmark 1, Nizami Street, 96
Baku AZ1010, Azerbaijan
Telephone: +994.12.497.8800
Fax: +994.12.497.8804

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