3/31/15 Analysis of Azerbaijan’s Hydrocarbon Resources Western Michigan University PSCI 3440, Spring 2015 Patrick O’Keelean Ryan Pastue Lluvia Elizalde-Diaz Oil Production and Exports •  852,000 barrels of oil are produced per day. •  700,000 barrels of oil are exported per day. Gas Production and Exports • 346 million cubic feet of gas are produced per day. • In 2014, 240 billion cubic feet of gas were exported. 1 3/31/15 Quantity of Hydrocarbon Resources • Proved: •  Gas Reserves: •  991.1 billion cubic meters. •  Oil Reserves: •  7 billion barrels. • Estimated: •  Gas Reserves: •  3.45 trillion cubic meters. •  Oil Reserves: •  2 billion metric tons Unclear borders in the Caspian sea results in disputes over exploration. Transport Infrastructure: Oil •  Azerbaijan has three major oil pipelines: •  Baku-TbilisiCeyhan •  BakuNovorossiysk •  Baku-Supsa •  Importer nations of Azeri oil include Italy, Indonesia, Thailand, Germany, Israel, France, India, Russia, and the United States. Transport Infrastructure: BTC •  In 2006, Azerbaijan began building the Baku-TbilisiCeyhan (BTC) pipeline. This put an end to the nearmonopoly that Russia had on the transportation of energy resources. Composed of 1,055 miles, most Azeri oil passes through the BTC pipeline. 2 3/31/15 Transport Infrastructure: Gas •  Azerbaijan has four gas pipelines: •  South Caucasus Pipeline (SCP) also known as the BakuTbilisi-Erzurum (BTE) pipeline •  Gazi-MagomedMozdok •  Baku-Astara •  Most Azeri gas is destined for Turkey. Existing Transport Gas and Oil Infrastructure Future Pipelines •  The Trans-Adriatic Pipeline will be built in 2018. It will transport Azeri gas through Greece and Albania to Italy. 3 3/31/15 Technological Capacity •  Azerbaijan has the technology to build its own pipelines but relies on foreign investments. •  BP has helped build facilities to drill for oil. Relations •  Azerbaijan borders the Caspian sea so it can ship oil to western Europe without going through Russia. Also, it balances relations with U.S and Russia so it can export to either country Bibliography "Azerbiajan." Independant Statistics and Analysis. August 1, 2014. http:/www.eia.govcountries cab.cfm?fips=aj. "Azeri-Chirag-Deepwater Gunashli-20 Years." Bp.com. Accessed March 27, 2015. http://www.bp.com/en_az/caspian/operationsprojects/ACG.html. "BTC Pipeline Azerbaijan." Pbs.org. Accessed March 27, 2015. http://www.pbs.org/wnet/extremeoil/journey/btc.html. Ciarreta, Aitor, and Shahriyar Nasirov. "Analysis of Azerbaijan Oil and Gas Sector." : 1- 29.Accessed February 17, 2015. http://www.usaee.org/usaee2011/submissionsonlineproceedings ciarreta_nasirov-article1.pdf. De Waal, Thomas. "What Lies Ahead for Azerbaijan." Carnegieendowment.org. October 7, 2013. Accessed March 27, 2015. http://carnegieendowment.org/2013/10/07/what-lies-ahead-for-azerbaijan. 4