SOCAR’s investments to exceed $ 9 bln by 2017
Fitch Ratings has affirmed SOCAR’s (State Oil Company of Azerbaijan Republic) long-term issuer default rating (IDR) at ‘BBB-‘, short-term IDR at ‘F3’ and senior unsecured rating at ‘BBB-‘.
The outlook on the long-term IDR is Stable, according to Fitch.
“The ratings of SOCAR, a wholly state-owned national oil company of Azerbaijan (BBB-/Stable), are aligned with the sovereign’s. SOCAR is a mid-size integrated oil company with 2013 hydrocarbon production of 255,000 barrels of oil equivalent per day (mboepd) and a number of assets in midstream, downstream, chemicals and retail,” Fitch said.
“We conservatively estimate that SOCAR will spend over AZN7bn (USD9bn) on capex in 2013-2016,” according to the statement.
Fitch upgrades KazTransGas and subsidiaries to investment upgrade
Fitch Ratings has upgraded KazTransGas JSC’s (KTG) and its fully-owned subsidiaries, Intergas Central Asia JSC’s (ICA) and KazTransGas Aimak JSC’s (KTGA), Long-term Issuer Default Ratings (IDRs) to ‘BBB-‘ from ‘BB+’. The Outlook is Stable.
Short-Term IDR of KazTransGas JSC: upgraded to ‘F3’ from ‘B’;National Long-Term rating: upgraded to ‘AA(kaz)’ from ‘AA-(kaz)’, Outlook Stable; Senior unsecured long-term rating: upgraded to ‘BBB-‘ from ‘BB+’; Senior unsecured National long-term rating: upgraded to ‘AA(kaz)’ from ‘AA-(kaz)’.
The upgrade of KTG and its subsidiaries (KTG or the group) reflects Fitch’s reassessment of the group’s linkage with its state-owned parent JSC National Company KazMunayGas (NC KMG, BBB/Stable), according to the Fitch report.
KazTransGas, Gazprom Gas – Engine Fuel LLC sign cooperation memorandum
KazTransGas JSC and Gazprom Gas – Engine Fuel LLC signed a memorandum on cooperation in the use of natural gas as a motor fuel.
“In order to develop markets for engine fuel, as well as pursuing single technical policy on the use of natural gas as engine fuel between KazTransGas JSC and Gazprom Gas – Engine Fuel LLC signed a memorandum of cooperation,” the press-service of the KazTransGas JSC reported.
“The main purpose of the document is the expansion of the use of gas engine fuel to ensure the market stability of petroleum products. The memorandum also envisages the creation of a network of gas filling stations on the route of Western Europe – Western China road , the coordination of efforts to develop a network of NGV filling stations and the creation of refitting points of vehicles to use compressed natural gas,” the statement said.
Turkmenistan, Azerbaijan discuss oil and gas cooperation
The president of the State Oil Company of Azerbaijan (SOCAR), Rovnag Abdullayev, who is on a visit to Turkmenistan, discussed the development of cooperation of the two countries in the oil and gas sphere on April 18, a message from Turkmen government said.
Turkmenistan and Azerbaijan are interested in using alternative routes for delivering the energy resources of the Caspian Sea region to Europe. Turkmenistan’s hydrocarbon resources can be delivered to the European market through the Caspian Sea by constructing a 300 kilometer pipeline along the sea bottom to the coast of Azerbaijan.
Then the fuel can be sent to Turkey which has a common border with European countries.