BP PLC (LON: BP) and its partners have initiated non-associated natural gas production at the Azeri-Chirag-Gunashli (ACG) field in the Caspian Sea offshore Azerbaijan. This marks the first commercial gas production from one of the world's largest oil-producing fields.

The first gas production well was drilled from the West Chirag platform in the Caspian. It is designed to provide early production along with reservoir and flow data to support the evaluation of the field's gas resources and future development planning.

The ACG partners estimate that the field's non-associated gas resources hold recoverable reserves of approximately 4 trillion cubic feet, with a potential that could reach 6 trillion cubic feet.

Gio Cristofoli, BP's regional president for Azerbaijan, Georgia and Turkey, stated, "This is an important day for Azerbaijan and the ACG joint venture. ACG has a long and successful history, and today, nearly three decades after starting crude production, the field continues to demonstrate its potential to create value for the country and investors as we open this new chapter."

"With gas production starting alongside oil, ACG is now in a unique position as an integrated oil and gas asset, leading regional industry development, contributing to Azerbaijan's plans to increase energy supplies to Europe, and supporting the country's energy transition efforts."

The initial production comes from a well drilled last year, targeting two priority gas reservoirs: the Qirmaki Upper Sand reservoir below the main oil-bearing layer and the deeper Qirmaki Lower Sand reservoir. The well confirmed gas resources in the Qirmaki Upper Sand and discovered high-pressure gas in the Qirmaki Lower Sand reservoir.

Initial production activities are focused on testing the Qirmaki Lower Sand reservoir.

Gas and condensate from the well will be transported to the Sangachal terminal using existing ACG offshore infrastructure, integrating gas production into the field's established oil development system.

This gas project is based on an amendment to the ACG Production Sharing Agreement in September 2024, which enabled the exploration, appraisal, development, and production of the field's non-associated gas reservoirs. The agreement is valid until the expiration of the existing ACG PSA in 2049.

The ACG consortium includes operator BP PLC, the State Oil Company of the Azerbaijan Republic (SOCAR), MOL, INPEX, ExxonMobil, TPAO, and ONGC Videsh.