S&P expects decline in oil production in Azerbaijan in 2026

S&P Global Ratings predicts a slight decline in oil production in Azerbaijan in 2026, Report informs.

"Over the ten months of the year, oil production fell by 4.6% to around 556,000 barrels per day (bpd), a decline of roughly 27,000 bpd compared with the same period last year. These dynamics are set to persist. Oil production is likely to edge lower in 2026 as the Azeri–Chirag–Deepwater Gunashli (ACG) complex continues to mature. Additional investment by foreign operators are slowing, but not halting, the underlying decline.

Natural gas output rose by 1.7% to about 849,000 bpd (oil-equivalent), an increase of only around 14,000 bpd (oil-equivalent), underscoring that the modest rise in gas output does not offset the sharper decline in oil production.

Gas output will remain broadly flat.

Over the longer term, several upstream projects (including the next phase of Absheron, the ACG deep gas project, and the development of Umid, Babek, and Karabakh) could support gas production, although all remain at early planning stages and would take years to materialize," reads the message.