AZERBAIJAN JV PROGRESS OUTPACING MOSCOW'S

The U.S.S.R.'s Azerbaijan Republic claims to be moving far faster than Moscow in establishing a market economy and providing favorable conditions for joint ventures with foreign firms, especially in oil exploration and development. Azerbaijan officials say 41 joint ventures are operating in the republic. They add that proposals for broad economic cooperation have been sent to the governments of the U.K., Italy, Japan, Austria, India, Switzerland, Turkey, and other countries.

Sept. 9, 1991

2 min read

Azerbaijan officials say 41 joint ventures are operating in the republic.

They add that proposals for broad economic cooperation have been sent to the governments of the U.K., Italy, Japan, Austria, India, Switzerland, Turkey, and other countries.

More than 20 foreign firms have opened offices in the republic's capital of Baku, "and this is only the beginning," Azerbaijan authorities say.

Plans are being made to establish free economic zones in the republic, and a proposal is under consideration to create a "free financial zone with the participation of foreign banks."

The Moscow newspaper Izvestia quoted Unocal Chairman and Pres. Richard Stegemeier as expressing confidence after a visit to Caspian Sea oil fields that good business deals can be made with partners in Azerbaijan (OGJ, Aug. 26, Newsletter).

Azerbaijan plans to produce 184,000-190,000 b/d of crude oil from the Caspian Sea this year, mostly from 28th of April field, which currently holds 158 producing wells.

Onshore Azerbaijan oil production continues to decline, and the 1991 target is only 46,000 b/d.