Azerbaijan to double gas supplies for Russia

Azerbaijan offers to double gas supplies for Russia, said Elshad Nasirov, Vice president of the State Oil Company of the Azerbaijani Republic (SOCAR), Bloomberg reports.

Gazprom is willing to make more gas purchases. Azerbaijan will be able to export over 7 billion cubic meters of gas annually. The capacity of the Hajibul-Mozdok pipeline connecting Azerbaijan and Russia will total 7 billion cubic meters annually.

Azerbaijan started gas exports to Russia on January 1, 2010. Russia imported 799 million cubic meters of Azerbaijani gas in 2010, although the contract provides 1 billion cubic meters. Azerbaijan and Russia signed a deal on 2 billion cubic meters in 2011. Yet, Russia received only 1.49 out of 2 billion cubic meters. SOCAR and Gazprom signed a contract on 3 billion cubic meters. But according to Q1 2012, Russia will receive a maximum of 2 billion cubic meters.

Azerbaijani gas is imported to Dagestan. An average price per 1000 cubic meters of Russian gas in Q1 2012 was about $250.