The Board of the European Bank for Reconstruction and Development has approved on 11 November financing of up to $30 million for the $3.2 billion Azeri-Chirag-Deepwater Guneshli Phase 1 oilfield in the Caspian Sea offshore from Azerbaijan

The Board of the European Bank for Reconstruction and Development has approved on 11 November financing of up to $30 million for the $3.2 billion Azeri-Chirag-Deepwater Guneshli Phase 1 oilfield in the Caspian Sea offshore from Azerbaijan, with the equivalent sum to be syndicated to commercial banks. Phase-1 project provides for development of central Azeri with estimated resources of 193 million tons of oil. As the result of the project implementation, the international consortium AIOC will have the opportunity to increase daily production from the contract area from 132 thousand barrels up to 375 thousand barrels. The EBRD and BP plc, the main sponsor of the two projects, have agreed to launch a Regional Development Initiative to create long-term jobs and sustainable economic development after pipeline construction is complete. The EBRD and BP have each earmarked up to $25 million in grants and loans for the initiative. Other members of the BTC consortium are expected to join with target funding overall of around $100 million.