Oil prices halve SOCAR’s revenue
Azerbaijan The 2015 budget was calculated based on revenues of AZN19.4 billion ($18.5 billion) with an estimated oil price of $90 per barrel. Brent crude is now trading at $47 per barrel at 3.00pm GMT.
SOCAR expects to transfer far less money next year, as the budget has already lost more than $510 million in estimated revenue. Aside from the falling price of oil, the devaluation of the Russian rouble has also affected revenues.
The company also intends to obtain a AZN1.8-billion ($1.7-billion) loan from the central bank to continue construction on a $16.5-billion oil, gas and petrochemicals processing plant.
The oil and gas industry in Azerbaijan accounts for 75 percent of government revenue, and 95 percent of its exports.
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