Azerbaijan’s offshore oil and gas sector is entering a new phase that will require fresh ideas and modern technology to maintain production across the aging fields of the Caspian region, SOCAR Vice President Babek Huseynov said at the SPE Caspian Technical Conference 2025 in Baku.
Huseynov noted that the Caspian Basin remains “one of the most technically interesting and strategically important regions” in the global energy industry.
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“Projects here have always been defined by experimentation, technological breakthroughs, long-term development and major offshore upgrades,” he said. “Many of our assets are mature and require new approaches to remain productive. Innovation is now critical.”
He emphasized that several fields in Azerbaijan have been in operation for decades yet remain central to the region’s energy security and economic stability. Preserving their productivity, he said, will require new competencies, new technologies and constant adaptation.
SOCAR to Redevelop Bahar Field with SLB, Eyes Higher Recovery Rates
Huseynov also highlighted the potential of the long-producing Bahar offshore field, calling it “a strong example” of reassessment and new development opportunities.
“Our top priority is maximizing recovery. Bahar has significant underground value, and recent work has provided a clearer picture of its long-term potential,” he said.
In October 2025, SOCAR and U.S. energy-services company SLB (formerly Schlumberger) agreed to partner on the redevelopment of Bahar and Gum-Deniz fields. The partnership includes reservoir modeling, identification of new production zones, and the design of drilling programs to support early production phases.
According to SOCAR, the project is expected to play a major role in extending the life of Azerbaijan’s mature offshore assets.
Bahar was first brought into production in 1969. The field was previously developed under a production-sharing agreement between SOCAR and Bahar Energy Ltd., a subsidiary of Greenfields Petroleum Corporation.
Final Investment Decision on Absheron Phase 2 Expected Next Year
SOCAR expects a final investment decision (FID) on the second phase of the Absheron gas-condensate field in the northern Caspian to be made next year, Huseynov told reporters on the sidelines of the conference.
Absheron, discovered in the 1960s, holds an estimated 350 billion cubic meters of gas.
The project is operated under a PSA signed in 2009 by SOCAR and TotalEnergies, later joined by the UAE’s ADNOC, which acquired a 30% stake in 2023.
Current participation: SOCAR – 35%, TotalEnergies – 35%, ADNOC – 30%.
Azerbaijan Invites Caspian States to Use Its Energy Infrastructure
Huseynov also stated that Azerbaijan is ready to offer its energy infrastructure to other Caspian littoral states, noting the country’s strategic access to European markets.
He pointed to the declining water levels of the Caspian Sea as a major challenge requiring joint action, particularly for both Azerbaijan and Kazakhstan.
“The issue demands coordinated work and common solutions,” he said.
Huseynov added that Azerbaijan remains a source of highly qualified engineering talent, though he expressed hope that more Azerbaijani specialists will continue building careers inside SOCAR rather than abroad.
