No decisions on Phase II of Shah Deniz

BAKU, Azerbaijan, Dec. 17 (UPI) -- Azeri developers at the Shah Deniz gas field denied reports that concepts for Phase II development of the offshore field were chosen, officials said Wednesday.

Officials with the Azeri division of Norway's StatoilHydro said decisions on concepts for the second stage of the complex would be completed this month.

"We consider several concepts. The final choice of the concept will be made in December," Olaf Skalmeraas with StatoilHydro said in September.

Officials with the Azerbaijan International Operating Co. said engineering concepts were still being considered, a sentiment echoed by BP Azerbaijan, the Azerbaijan Business Center reported.

"At present the second stage engineering is passing the first stage of design," BP said. "Engineering works will be continued in 2008 and 2009 as well."

BP Azerbaijan is the technical operator at Shah Deniz.

AIOC said it would make final decisions by the first quarter of 2009, with production at Phase II expected to commence in 2013.

Production capacity for Phase II is expected to reach 989 billion to 1.1 trillion cubic feet per year.