The Caspian Oil & Gas Potentials - A New Survey >

It is often said that the Caspian region, including Russia, will eventually rival the Middle East as a source of oil and gas to the world. What is certain is that the foreign oil companies involved in the region's E&P will use all possible means to move their oil and gas to the markets. With Iran excluded, the Caspian countries are expected to produce by 2010 more than 10 million b/d of oil and export over 300 BCM/year of natural gas. By then the Middle East will be able to produce more than twice as much oil, but will be exporting less than 150 BCM/year of gas by pipeline or in LNG form. Investment in Caspian oil and gas will be huge, mostly involving Western capital. But world oil prices are quite low, with the spot market having kept Dated Brent at less than $12/barrel despite OPEC's ministerial decision on June 24 to cut production further in the second half of 1998. Competition between Middle East and Caspian oils will keep prices relatively low in the foreseeable future. The 12th Annual APS Conference, to be held in Beirut on Oct. 12-13, 1998, will focus on both the Middle East and the Caspian region. See conference updates in the What's New section of the APS website at: www.aps-energygroup.com Outline: A new survey of the Caspian region, excluding Iran, will be serialised as from this week's APS Review. The study will cover Azerbaijan, Kazakhstan, Russia, Turkmenistan and Uzbekistan. Iran was surveyed in 1997). The survey will focus on the upstream and downstream sectors and the decision makers in each of these five countries.