SOCAR, Total activate work on major gas field in Azerbaijan

"The parties are completely satisfied with the negotiations,” the source said. "The signing of a large number of contracts is currently being prepared, and that will make it possible to soon switch to the stage of creating an operating company which will be a technical operator of the Absheron field’s development.”

"It’s premature to talk about the timing of its establishment, but there is a chance that this will happen in autumn of 2016,” the source added.

The first volumes of gas from Absheron gas and condensate field is expected to be received in late 2021 and early 2022, according to the forecasts. The final investment decision on the project will be adopted in the fourth quarter of 2017, while the first well at the field is expected to be drilled in the third quarter of 2019.

The discovery of Absheron field was announced in 2011. The reserve of Absheron field is estimated at 350 billion cubic meters of gas and 45 million tons of condensate, according to SOCAR geologists.

Shareholders of Absheron project are: SOCAR - 40 percent, Total - 40 percent and Engie - 20 percent.