Total confirmed it will delay its development of the Absheron field in the Azeri section of the Caspian Sea by one year.
The announcement comes after the firm sold its remaining stake in Shah Deniz gas project for $1.5billion to focus on developing the offshore gas field.
First production of the Absheron field is now expected to start in 2021.
Total acts as operator of the site with a 40% stake. The State Oil Company of Azerbaijan, known as Socar, also has a 40% stake while French gas utility GDF Suez SA retains the remaining 20%.
Christian Giudicelli, head of Total Azerbaijan, said: “We are working on a development plan for Absheron.”
Total costs for the project will tally-up to between $5billion and $7billion, according Giudicelli.
The company leader also refused to comment on speculation regarding Total selling its stakes in the Trans-Adriatic Pipeline project, which was designed to carry Caspian gas from the Turkish-Greek border to southern Italy.
Speculation emerged after head of investment at Socar, Vaqif Aliyev, told reporters in Baku that both Total and EON SE planned to unload their stakes.
However Giudicelli labelled the speculation straight “rumour”.
Total recently streamlined its financial assets as part of a strategic effort to trim $20billion off its books. The firm has already sold $16billion of assets as part of the plan.
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