Negotations on joint developments on oil deposits "Azeri", "Chirag" and "Guneshll" in the Azerbaijani
sector of the Caspian Sea, with reserves estimated over 500 million tonns, with the International Con-
sortium of oil companies, which have been goinfon since 1991 ended successfully.

In September of 1994 Heydar Aliyev, President of the Republic of Azerbaijan, issued a decree to allow
the State Oil Company of the Azerbaijan Republic (SOCAR) to sign a contract with the International
Consortium of oil companies. The Consortium consisted of oil companies like "AMOCO Caspian Sea
Petroleum Ltd".," "British Petroleum Exploration (Caspian Sea) Ltd., "Den Norske Stats Oleselskap
A.S", "LUKoil" joint stock company, "Mc Dermott Azerbaijan Incorporated," "Pennzoil Caspian Corpo-
ration", "Ramco Khazar Energy Ltd.," "Turkish Petroleum A.O." and "UNOCAL Khazar Ltd". The con-
tract provides oil developments in the above-mentioned deposits for the term of 30 years.

On September 20, 1994, a solemn ceremony for the signature of the contract was held in the Palace
of "Gulustan" Heydar Aliyev, President of the Republic of Azerbaijan, made a brilliant speech in the
ceremony of signature.

Paving the way for the foreign companies to Azerbaijan.

This Contract created favourable conditions for making investments to the economy
of the republic.

On November 10, 1995, SOCAR signed a contract with "Pennzoil", "AGIP"" and
"LUKoil" on the Garabag oil structure. Company founded in 1996, began to work in
the perspective "Garabag" structure.

On June 4, 1996, SOCAR signed another contract with "LUKoil" of Russia, "BP" of
Great Britain, "Statoil" of Norway, "Elf-Aquaitaine" of France, "OIEC" of Iran and
"Turkish Petroleum A.O." on joint developments in the highly perspective "Shah-
deniz" oil structure.

On December 14, 1996, SOCAR signed the fourth contract with "UNOCAL" and
"AMOCO" of the USA, "Itochu'' of Japan, "Delta" of the Saudi Arabia on joint devel-
opments in the oil deposits of "Ashrafi" and "Dan Ulduzu".

On January 14, 1997, SOCAR signed the fifth contract with "Elf-Aquaitaine" and "To-
tal" of France on joint explorations, developments and output and "Lankaran-Talish-

And finally on July 4,1997, SOCAR signed a new contract with "LUKoil" and "Ros-
neft" of Russia on joint oil developments in the deposit of "Kepez" in the Caspian Sea
during the visit of the President of the Republic of Azerbaijan Heydar Aliyev to Mos-

These contracts, signed at the threshold of the XXI century, will raise the welfare of
the Azerbaijan people, provide the qualitative renewal of all the industry, the research
and industrial-technical balance of the oil industry in the first place.