oil fund


Azerbaijan discloses second EITI report

03 Aug 2005 11:00:00

Azerbaijan discloses second EITI report

03 Aug 2005 11:00:00

This Press release is jointly prepared by Committee on EITI, extractive industry (oil and gas) companies and Non-Governmental Organizations (NGOs) Coalition for Increasing Transparency in the Extractive Industries of Azerbaijan.

The Committee on Extractive Industries Transparency Initiative ("EITI") established by the Government of Azerbaijan to implement its obligations taken at the conference on EITI held in June 2003 in London, today announced the release of the Government’s second EITI report (2004 annual assertion) audited by Deloitte, the independent Aggregator. The release is accompanied by the Aggregator’s opinion based on individual submissions of extractive industry companies participating in the EITI process in Azerbaijan.

The publication of Azerbaijan’s second EITI report follows the signing of a Memorandum of Understanding ("MOU") on November 24, 2004 between the Government of Azerbaijan, foreign and local extractive industry companies and a coalition of some 32 local Non-Governmental Organisations ("NGO’s") for Increasing Transparency in Extractive Industries to implement EITI in Azerbaijan. The MOU set out a clear and independent process for the implementation of EITI in Azerbaijan and since its signing has served as the framework for implementation efforts by all parties.

The full report as well as the Aggregator’s opinion on the document has already been disclosed on the State Oil Fund (SOFAZ) and the EITI Secretariat of the UK Department for International Development (DFID) and the Non-Governmental Organizations (NGOs) Coalition for Increasing Transparency in the Extractive Industries of the Republic of Azerbaijan.

Samir Sharifov, Chairman of the Committee on EITI, stated: “The completion of the second reporting cycle under EITI process in Azerbaijan clearly demonstrates commitment of the Government of Azerbaijan to transparent management of oil revenues and marks another important step in this direction”.

Speaking on behalf of foreign oil companies (FOC) David Woodward, BP’s Associate President in Azerbaijan, said: “The FOCs operating in Azerbaijan’s extractive industries welcome this second EITI report, which marks the continuation of our joint success with the Azerbaijan Government, local oil companies and the NGO Coalition towards full implementation of the EITI in this country. We are encouraged by this consistent demonstration of strong commitment to the EITI by all parties involved and are looking forward to our further cooperation in this area, which we believe is one of the right steps the Azerbaijan Government is taking to ensure that the revenues from oil and gas developments are used to maximum effect.”

Sabit Bagirov speaking on behalf of the NGO coalition said: “It is commendable that 2004 report was presented two weeks prior to the time identified by the parties of the Memorandum and proves the continuation of the Initiative in Azerbaijan. The coalition hopes that report on the first half of 2005 will be presented for public view together with currently discussed by the parties amendments to the Memorandum”.

Report of the Government of the Republic of Azerbaijan (host government) about aggregated receipts from the extractive industries Reporting period 2004 (annual)

The Committee on the Extractive Industries Transparency Initiative of the Republic of Azerbaijan ( Independent Accountants Report) For the year ended 31 December 2004

Subscribe to our News