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Socar Cape JV nets Shah Deniz contracts offshore Azerbaijan

05th February 2015

The Socar Cape joint venture has been awarded three significant contracts in Azerbaijan

The Socar Cape joint venture has been awarded three significant contracts in Azerbaijan
The joint venture agreement with the State Oil Company of Azerbaijan (Socar) was entered into in 2010 and is 51 per cent owned by Socar and 49 per cent owned by Cape

The contracts are for the supply of services to projects that are part of the development of the Shah Deniz field, a major natural gas development in Azerbaijan. In aggregate the three contracts are expected to be worth in excess of USD 65m for the joint venture.

“The Socar Cape JV has made significant investment to ensure the business is correctly structured to be able to react to the needs of its clients and we are delighted that the benefits of this investment are starting to be seen,” said Joe Oatley, chief executive of Cape plc. “These contract awards are testament to the continued hard work and capability of the Socar Cape JV team and come at an exciting time in the country where there is increasing demand for our services.  Socar is an important partner to Cape and we look forward to continuing our partnership with them on both these and future projects.”

The joint venture agreement with the State Oil Company of Azerbaijan (Socar) was entered into in 2010 and is 51 per cent owned by Socar and 49 per cent owned by Cape.

This contract will be accounted for in the share of post-tax results of joint ventures line in the UK, Europe and CIS region within the Cape’s accounts and for this reason, the value of this award will not appear in the group’s reported order book and revenue.

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