BP steps up exploration and development in Caspian basin

Energy giant bp is ramping up exploration and development efforts across the Caspian Basin, eyeing massive untapped oil and gas resources, according to Dan Sparkes, bp's Vice President for Exploration in Azerbaijan, Georgia, and Türkiye.

Speaking at the Baku Energy Forum, Sparkes emphasized that the region offers "favorable conditions" for integrated oil and gas project development, with ongoing work on both mature fields and new prospects. He described the scale of opportunity as “multi-billion-dollar recoverable resources — hundreds of millions of barrels.”

Key Developments:

Shah Deniz Project:

• A final investment decision (FID) has been made, marking a critical advancement in the giant gas-condensate field.
• The project is expected to boost production and enhance regional infrastructure, benefiting additional assets in the basin.
   

Karabakh Field:

• Discovered in 1998, this field is now moving to the next phase of development.
• “The time has come to move forward,” Sparkes said, signaling a forthcoming investment decision and preparations for first production.
   

NECO Zone and New Prospects:

• bp has launched work in the NECO zone, and is also developing the Adua and Namiacin blocks.
• These are part of a strategy to diversify and expand production capacity.
   

Shafagh Project (with Turkish Petroleum):

• The company is re-engaging with this previously dormant project, demonstrating renewed interest in long-term regional assets.
   

Strategic Focus

Sparkes noted that pace is critical: “To replenish volumes, we have to add new resources every year.” This requires a balance of exploration, development, and revitalization. He emphasized bp’s goal to maximize efficiency and productivity, especially in the face of declining output from aging assets.

This renewed push in the Caspian positions bp to maintain its regional dominance, support energy security in Eurasia, and contribute to Azerbaijan’s role as a key energy exporter to Europe and beyond.

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