XRG approves final investment for Azerbaijan's Absheron gas field

XRG has announced a final investment decision (FID) for the next phase of development at the Absheron offshore gas and condensate field in the Caspian Sea. The company holds a 30 percent stake in the project.

The expansion aims to tap into extractable gas resources of up to five trillion cubic feet. Production is scheduled to begin in 2029, with a target capacity of 600 million cubic feet of gas and 47,000 barrels of condensate per day. This project builds upon the first phase of the field, which commenced production in 2023.

This investment complements XRG’s existing involvement in the Southern Gas Corridor, a 3,500-kilometer pipeline network connecting Azerbaijan to Turkey, Southern Europe, and over 15 European nations. XRG also maintains a 38 percent stake in the ‘Block 1’ offshore gas and condensate concession in Turkmenistan.

Mohammed Al-Aryani, Head of the International Gas Platform at XRG, stated that the decision supports the company’s progress and reinforces Azerbaijan’s role as a reliable energy partner for international markets. The company works alongside partners such as SOCAR and TotalEnergies to support energy security and economic growth in the region.