Transparency initiative annual report



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2. EITI REQUIREMENT 2




2. Background



The mining industry is comprised of the discovery, extraction and processing of major mineral deposits. Azerbaijan is rich in mineral resources, especially oil and gas resources.
Oil and gas industry – includes oil and gas fields exploration, drilling, extraction, oil products and gas transportation.


  • Exploration – implies geological exploration, adjusting the drilling mechanism, evaluation of the field and industrial method of preparation;

  • Drilling – caving the earth crust by use of the well drilling equipment for purpose of oil and gas extraction;

  • Development and exploration of oil and gas fields – consists of running oil and gas wells, reproduction of idle oil wells and return to operation;

  • Oil and gas extraction – is an activity used for a number of offshore and onshore oil productions; and

  • Transportation – is the delivery of crude oil from extraction points to processing plants and other locations with pipelines, tankers and other means of conveyance.





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