Azeri state oil firm SOCAR on Tuesday said it had signed a production sharing agreement with UAE based Bahar Energy on the exploration, restoration and production of two Caspian fields.The joint venture, which covers activities at the Bakhar and Gum daniz blocks, is worth between $1 to $2 billion, both parties said.
Bahar Energy will control 80 percent of the project, while SOCAR owns the remaining 20 percent.
The Bakhar field has remaining energy gas reserves of about 25 billion cubic metres, while Gum daniz holds an unspecified amount of oil.
Bahar Energy chief executive Richard McDougall said that in the first stage of the project, his company would drill 50 new wells and repair 100 existing wells.
The Gum daniz oil and gas field has been in operation since 1955, while the Bakhar deposit went online in 1969.
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