Profit tax payments from Shah Deniz shareholders forecast at 1.42 billion manats for 2027
The forecast for profit tax payments by the shareholders of the Shah Deniz field development project in 2027 has been set at 1.42 billion manats.
As 1news.az reports, the corresponding forecast is reflected in the budget package for 2027.
This is 11.3% less than the forecast for 2026 and 37.2% below the actual figure for 2025.
Compared with the forecast for 2026, profit tax revenues will decrease by 180 million manats. The main reasons for this are a decline in condensate production at the field by 0.5 million barrels, or 1.7%, and in natural gas by 0.2 billion cubic meters, or 0.7%.
In addition, the European hub price for natural gas used in the calculations is 6.8%, or $30, lower than the figure envisaged for the current year.
Compared with the actual figure for 2025, profit tax payments by the project's shareholders will decrease by 840.3 million manats. This is due to a decline in condensate production by 3.3 million barrels (in 2027 compared with 2025), or 10.4%, and in natural gas by 0.6 billion cubic meters, or 2.2%.
Besides this, the estimated gas price for 2027 is 15.3%, or $73.8, lower than the 2025 figure.
Note that in 2026, gas production at the Shah Deniz field is forecast at 26.9 billion cubic meters, and condensate production at 30.3 million barrels.
According to bp-Azerbaijan, gas production at Shah Deniz in January-September 2026 amounted to 20 billion cubic meters (-4.8% from the figure for the same period last year), and condensate production to 21 million barrels (-12.5%).
The agreement on the exploration and development of the Shah Deniz field and production sharing was signed on June 4, 1996, and ratified on October 17 of the same year. The field, located 70 km southeast of Baku, was discovered in 1999.
In December 2013, the term of the production sharing agreement was extended from 2036 to 2046.
The shares of the project participants are distributed as follows: BP (operator) - 29.99%, Lukoil - 19.99%, TPAO - 19%, NICO - 10%, Cənub Qaz Dəhlizi - 16.02%, MVM - 5%.
