Turkish state oil company TPAO will sign a gas production-sharing agreement with Azerbaijan's SOCAR and BP for the Shafaq-Asiman offshore block on the Caspian sea, Turkey's energy minister said on Monday.
"Today, we are taking further steps with the signing of a major agreement that will increase our oil and gas production in Azerbaijan," Minister Alparslan Bayraktar said at the Baku Energy Week conference.
TPAO's share will be 30% and there are also "talks on other fields," Bayraktar said, according to a ministry statement, which added that the agreement will be signed on Tuesday.
The Shafag-Asiman block is 125 kilometres (78 miles) southeast of Baku and at depth of 650-800 metres, according to SOCAR's website. The first exploration well was drilled in 2020.
(Reuters - Reporting by Nailia Bagirova and Can Sezer; Editing by Jonathan Spicer and David Evans)