Eni SPA and the State Oil Company of the Azerbaijan Republic (SOCAR) agreed to cooperate on emission reduction projects in the COP29 host country at the same time pursuing hydrocarbon exploration and production to secure fuel for Europe.
SOCAR and Italian government-controlled Eni signed three memorandums of understanding (MOU) during President Ilham Aliyev’s official visit to Italy.
“The first MoU focused on the expansion of Eni and SOCAR’s cooperation on hydrocarbon exploration and production, with the aim of strengthening the energy security of Europe, and Italy in particular”, Eni said in a statement on its website.
Azerbaijan is a supplier of natural gas for Europe via the Southern Gas Corridor. Azerbaijan agreed last year to raise gas exports to the European Union via existing infrastructure. The agreement, called the Solidarity Ring initiative, involves pipelines in Bulgaria, Hungary, Romania and Slovakia, according to a statement April 25, 2023, by the Azerbaijani presidential office.
“A second MoU envisages the cooperation of Eni and SOCAR to reduce greenhouse gas emissions and improve energy efficiency in the upstream sector in Azerbaijan, through the application of best available technologies”, Eni said. These include the evaluation of carbon capture and transportation solutions from existing plants in various industrial sectors, storage and utilization in deposits in Azerbaijan, as well as the identification of renewable energy development project opportunities”.
Under the third MOU, Eni and SOCAR will explore cooperation on producing biofuels from agricultural products in Azerbaijan and the Caucasus region.“Today’s agreements confirm the areas of cooperation between Eni and SOCAR in view of the next United Nations Climate Change Conference COP29, to be held in Azerbaijan in November 2024”, Eni said.
The Azerbaijani president’s office said in a statement on its website, “… following the signing of these documents, Eni S.p.A will develop a working plan and strategy to achieve tangible results within a shorter timeframe”.
During his visit Aliyev also held talks with Italian state-backed power producer Ansaldo Energia Group on potential cooperation in clean energy. Ansaldo Energia had delivered the gas turbines for Azerbaijan’s largest thermal power plant, a 1,280-megawatt project in the city of Mingachevir that is expected to be completed this year.
“The company expressed strong interest in contributing to the enhancement of Azerbaijan’s energy system and indicated its intention to collaborate with Azerbaijan’s Azerenerji OJSC”, said a statement on the Azerbaijani presidential office’s website.
Elsewhere in Asia, Eni recently signed energy transition-related agreements expanding its operations in Kazakhstan, where Eni is already producing oil and gas, as well as solar and wind electricity.
Two months ago Eni announced the start of construction of a 250-megawatt renewable energy-gas power plant in Zhanaozen, Kazakhstan, a cooperation project with the Central Asian nation’s NC KazMunayGas JSC (KMG). The project is “Kazakhstan’s first hybrid power plant integrating solar, wind, and gas power to produce and supply low-carbon, stable electricity to KMG subsidiaries in the [Mangystau] region”, Eni said in a press release July 19.
Sovereign wealth fund Samruk-Kazyna JSC (SK) and Eni also signed an MOU for several projects including exploring the possibility of building more hybrid plants across Kazakhstan. The deal also involves “the assessment of mineral initiatives and the development of other carbon emission reduction technologies”, Eni announced January 18.
An SK portfolio company, NC QazaqGaz JSC, also signed with Eni an agreement “focused on the exchange of experience among scientific, technical and research centers to develop technological innovations and human capital, with the aim of reducing carbon emissions in gas industry operations”, Eni added.
Source:https://www.rigzone.com