Shah Deniz Stage 2

Shah Deniz Stage 2, or Full Field Development (FFD) is a giant project that will add a further 16 billion cubic meters per year (bcma) of gas production to the approximately 10 bcma produced by Shah Deniz Stage 1.

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Shah Deniz 2 and SCPX progress

Around $28 billion in capital investment will be required to produce the gas and transport it to the Georgia-Turkey border. From there, additional pipeline systems will deliver 6 bcma of gas to Turkey and a further 10 bcma of gas to markets in Europe, in a route known as the Southern Gas Corridor. Shah Deniz gas will travel 3,500 kilometres, to elevations of over 2,500 metres, and over 800 metres below the sea.  

Shah Deniz Stage 2, one of the largest gas developments in the world, will help increase European energy security by bringing Caspian gas resources to markets in Europe for the very first time. 

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The current concept for Shah Deniz Stage 2 includes:
  • two new bridge-linked offshore platforms.
  • 26 gas production wells which will be drilled with 2 semi-submersible rigs.
  • 500 km of subsea pipelines will link the wells with the onshore terminal.
  • upgrade of the offshore construction vessels
  • expansion of the Sangachal terminal to accommodate the new gas processing and compression facilities.
After achieving significant commissioning and completion milestones across the whole gas value chain at the beginning of the year, the Southern Gas Corridor official inauguration event was held at the Sangachal Terminal on 29 May. This was followed by the commencement of commercial gas deliveries to Turkey from the Shah Deniz 2 development project as planned on 30 June 2018. 

On 30 July, the wing valve on the North Flank subsea well SDC-03Z was opened, marking the first production from the Shah Deniz Bravo platform. This milestone marks the very first production from a subsea well in the Caspian, a significant achievement, which has been delivered safely, below budget and ahead of schedule.  The Bravo facility is now exporting gas and condensate to the onshore terminal at Sangachal.