BAKU, Azerbaijan, Nov. 25 (UPI) -- Turkish pipeline company BOTAS and the State Oil Co. of Azerbaijan Republic finished a round of price talks for Azeri gas with settlement seen by year's end.
Baku has lobbied for a revision to a gas pricing formula for Ankara. The current price is far below current market conditions.
Baku also aims to make conditions more attractive for possible gas transits through the Nabucco pipeline for Europe. Nabucco would bring gas from Central Asia and the Middle East to European markets along a route passing through Turkey.
SOCAR and BOTAS said they made progress on their negotiations but warned the matter was complex, the Azerbaijan Business Center reports.
Rovnag Abdullayev, the president of SOCAR, said pricing terms for Azeri exports from its second phase of the offshore Shah Deniz gas field could develop by the end of the year.
"The sides reached certain arrangements," he said. "I believe that soon we will get answers to our questions and achieve full understanding."