Azeri Criticism of BP Over Falling Oil Output Is Final Warning

Azeri President Ilham Aliyev’s criticism of BP Plc for lower-than-expected oil output from the Azeri-Chirag-Guneshli, or ACG, field was a final warning, Oqtay Asadov, the speaker of the national parliament, said today.

“BP will fulfill its commitments on oil production in Azerbaijan because it was warned for the last time,” Asadov said today, according to the private APA news service.

Aliyev said last week that the U.K. producer, which is behind the ACG and Shah Deniz natural-gas development, had made “grave mistakes” which resulted in an “unexpected decline” at the country’s largest deposit.

ACG output fell 12 percent in the first half of 2012 from a year earlier, according to data on BP website. The field produced 35.4 million tons, or 78 percent of Azerbaijan’s crude, last year.

Industry and Energy Minister Natiq Aliyev said yesterday that BP faces “no threat” in Azerbaijan.

Before it's here, it's on the Bloomberg Terminal. LEARN MORE