On April 6, 2005 the signatories to the Memorandum of Understanding on EITI implementation in Azerbaijan – the representatives of National Committee on Extractive Industry Transparency Initiative (EITI), local and foreign extractive companies, and non-governmental organizations’ Coalition for Increasing Transparency in the Extractive Industries and also Deloitte & Touché auditing company met to discuss the outcomes of the first reporting phase of EITI implementation in Azerbaijan.

Mr. Samir Sharifov, the Chairman of the National Committee on EITI briefed the meeting participants on outcomes of the first reporting phase of EITI implementation in Azerbaijan and made some clarifications to the reports audited by Deloitte&Touche. Touching upon the NGO Coalition’s statement on Deloitte &Touche reports, the Chairman of the Committee described it as being far from reality and referred to the National Committee’s position on this subject spelled out in the local press.

The meeting participants had an exchange of views and representatives of the government and extractive companies answered questions posed by members of the NGO coalition members.

Mr. Sharifov then answered the NGO Coalition's questions as a result of which it was proved that the statement of the NGO Coalition regarding the Reports by the audit company was completely wrong. The statement made by the NGO Coalition last week claimed that the audit reports cover only the activities of the companies operating under PSA and partial information on the revenues received by Azerbaijan from the exploitation of the oil and gas resources in the year 2003 and 2004 first six months has been disclosed (i.e the operations of SOCAR haven’t been reflected in the report).

At the end of the discussions the meeting participants exchanged views on how to proceed with the second reporting cycle in Azerbaijan.