BAKU, Azerbaijan, November 3. The total production at the Shah Deniz gas condensate field is expected to exceed 26 billion cubic meters by 2024, Trend reports, referring to the Asian Development Bank (ADB) report.
“The targets of beginning gas deliveries to the Republic of Türkiye by late 2018 and to Europe by late 2020 were achieved. The actual timelines for completion of project infrastructure were extended beyond 2020. As more wells go into production and as the subsea pipeline network is completed, it is expected that the combined SD1 and SD2 production will marginally exceed the targeted level of 26 bcma by 2024,” the report said.
According to the ADB, the Shah Deniz gas field expansion project will help to more than double gas production from the field, as well as gas production in the country by 67 percent - from 29 billion cubic meters per year in 2015 to more than 48 billion cubic meters per year in 2024.
The bank has also provided a loan guarantee to cover up to 95 percent of commercial loans in the amount of up to $526 million for the implementation of the project.
Meanwhile, as the ADB noted, the aims to start gas supplies to Turkey by the end of 2018 and to Europe by the end of 2020 have been completed. The actual completion dates for the construction of the project's infrastructure have been extended beyond 2020. Of the 500 km of new underwater pipelines, 451 km have been built as of the end of 2021.
As the bank also noted, this expansion project is set to contribute to improving Europe's energy security by providing (along with the main gas pipelines) an opportunity for gas supplies through the Southern Gas Corridor (SGC) to Europe, which traditionally receives gas from Russia and the Middle East.