Sofia Eyes Socar’s Equity Gas

Bulgaria's president Rumen Radev has expressed interest in buying more gas from Azerbaijan, and inviting state producer Socar to help with Bulgaria's gas supply security during a phone talk with his counterpart Ilham Aliyev, the latter's website reported January 9.

An Azeri official told NGW that Bulgaria cannot extend its 1bn m³/yr contract signed in 2013 with the BP-led Shah Deniz consortium, as all that gas has been presold on long-term contracts.

“Socar has already received a licence from Turkey to export its own gas, rather than from Shah Deniz. In coming years some gas fields, including Absheron, Karabakh, Azeri-Chirag-Guneshli oil block’s dry gas layer, Babek will become operational and production in Umid and Bulla Deniz gas fields will increase. Then there will be no worry about further gas sales to Bulgaria,” the source said on condition of anonymity.

The gas will be supplied to Bulgaria through the Greece-Bulgaria interconnector project, a spur from the TransAdriatic Pipeline.

The source said that Bulgaria also invited Socar to be involved in other projects, including developing the gas grid and expanding the underground gas storage (UGS) site at Chiren. Socar has 40 years experience in UGS projects, including development of its own two facilities Karabakh and Kalmaz. The work on Chiren will be carried out in two directions. First it will be modernised to allow 20% more wthdrawal to 5mn m³/d, and second its capacity will be almost doubled, from 550mn m³ to 1bn m³.