Oil drilling near Baku, Azerbaijan
Azerbaijan looks to solve its midstream conundrum
The country wants to kickstart its upstream but first needs to persuade investors to foot the bill
Azerbaijan may have lofty ambitions to replace Russian gas supplies, but the country faces a steep challenge to build out the necessary infrastructure. The government has pledged to almost double exports to the EU by 2027, yet domestic output last year increased by just 4.1% and exports by 5.8%, according to the energy ministry. The reality is that Azerbaijan finds itself in a ‘chicken and egg’ situation. The former Soviet republic cannot expand production and shipping capacity without first raising more investment. On the flipside, Europe is prepared to take additional gas but does not appear willing to put in the investment required to make that happen. For investors, the availability of c
Also in this section
1 April 2026
Golden Pass’s startup offers QatarEnergy a timely boost but may also force a difficult choice between honouring disrupted contracts and capitalising on soaring spot LNG prices
1 April 2026
It is not a case of if or when, but the length and magnitude of economic damage from elevated oil prices
1 April 2026
The US-Iran conflict demonstrates the need for diversification in several senses of the word. It also exposes the limits of Washington applying pressure on major oil and gas producers it considers geopolitical adversaries
31 March 2026
Disappointing results in its bidding round are a reality check for Libya, and global exploration generally
