The price of one barrel of Azerbaijan's "Azeri Light" crude oil on the world market has increased by $1.95, or 1.74%, reaching $113.97 per barrel.
According to sources in the oil market who spoke to Operative Information Center-OMM, the price of Brent crude oil June futures stood at $111.56 per barrel. Meanwhile, the price of Azeri Light on a Free on Board (FOB) basis at the Turkish port of Ceyhan decreased by $1.84, or 1.69%, to $110.78 per barrel.
Azerbaijan's state budget for the current year is calculated based on a conservative average oil price of $65 per barrel. The current market rates provide a significant fiscal cushion for the country's economy. Historically, Azeri Light reached its record low of $15.81 in April 2020 and its peak of $149.66 in July 2008. The crude is produced under the agreement for the development of the Azeri-Chirag-Gunashli (ACG) field block, where the State Oil Company of the Republic of Azerbaijan (SOCAR) holds a 31.65% stake.
The ACG field, located in the Caspian Sea, remains the primary source of oil production in Azerbaijan. The light crude produced there is highly valued in international markets for its low sulfur content and high yield of gasoline and diesel. Most of the volume is exported via the Baku-Tbilisi-Ceyhan (BTC) pipeline, which serves as a strategic energy corridor connecting the Caspian region directly to the Mediterranean Sea.
