BAKU, Azerbaijan, February 4. Azerbaijan's
SOCAR Upstream plans to drill 80 wells and perform more than 500
well operations this year, Drilling Manager for the Upstream
Operations Department of the State Oil Company of Azerbaijan
(SOCAR) Farid Umudlu said at the IADC (International Association of
Drilling Contractors) Drilling Caspian 2026 conference and
exhibition in Baku, Trend reports.
"About a third of our GDP is generated by the oil industry. At
the center of this system is SOCAR Upstream, which employs
approximately 12,000 people," he explained.
Umudlu noted that in the past, SOCAR operated with three
entities that facilitated this initiative.
"The first is SOCAR headquarters, responsible for government
interaction and occasionally supporting operations. The second is
the Azneft Production Association, the main operator of assets
within Azerbaijan. The third is SOCAR Upstream, which primarily
provided expert and technical support, leveraging international
experience.
Last year, we realized that operating three separate
organizations simultaneously was ineffective. A strategic decision
was therefore made to unite them under a single brand, SOCAR
Upstream. This allowed us to consolidate all assets and become a
single organization. This means a stronger structure: a single line
of decision-making, one team, and a common vision. This is crucial
for improving our operational efficiency and internal consistency,"
Umudlu mentioned.
Umudlu noted that after completing the internal transformation,
the company launched external changes.
"We've begun implementing a partnership model. Previously, SOCAR
didn't have direct contracts with service companies, as they
operated primarily as contractors. Starting this year, we began
building direct partnerships with various service companies
directly through SOCAR Upstream. We're currently in the process of
establishing such collaborations with both service companies and
our key contractors," he added.
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