Azerbaijan’s Expanding Gas Export Strategy: Economic Interests and Energy Security

Baku: This week, in an interview with local television channels, President Ilham Aliyev highlighted Azerbaijan's efforts to increase gas production, expand export potential, and diversify gas export routes. The President noted that Azerbaijan's gas exports are growing in volume and geography, supplying gas to 14 countries regularly, with plans to add two more European countries, bringing the total to 16. This achievement marks Azerbaijan as the leading country in terms of pipeline gas supply reach.

According to Azeri-Press News Agency, President Aliyev discussed several projects under development, such as the deep gas production project at the Azeri-Chirag-Gunashli field and the Shah Deniz Compression project. The next phase of the Absheron field development was also highlighted, along with investor interest in the Babek structure. Additionally, Syria has recently become a new partner in receiving Azerbaijani gas, aiding its electricity shortages.

The President's statements indicate that Azerbaijan is shaping its gas strategy based on a flexible, diversified approach amid changing global energy dynamics. In 2025, Azerbaijan is projected to produce 50.8 billion cubic meters of gas, with an export volume of 25.2 billion cubic meters. This solidifies Azerbaijan's status as a mature gas exporter, facilitated by large-scale projects and international partnerships. The country's energy policy emphasizes increased gas production, expanded export geography, and integration with renewable energy.

The Southern Gas Corridor is a vital component of Azerbaijan's gas position, connecting various countries along a route from the Caspian basin to the Mediterranean. Azerbaijani gas is regularly delivered to 11 countries, with a broader reach of 14 countries, ensuring a reliable alternative in energy markets. The addition of Germany and Austria in 2026 will further increase Azerbaijan's influence on Europe's energy map, reflecting political trust and long-term contract suitability.

Since 2020, Azerbaijani gas has been transported to Europe via the Trans-Adriatic Pipeline (TAP), with over 54 billion cubic meters supplied in five years. This year, 12.8 billion cubic meters have been exported to Europe under short- and long-term contracts.

Azerbaijan's resource base supports future growth prospects, with new gas production expected from the Azeri-Chirag-Gunashli field and the planned 'Shah Deniz Compression' phase. The Absheron field plays a crucial role, with its second phase expected to significantly increase gas production for export. International interest in the Babek field underscores confidence in Azerbaijan's gas sector.

Gas exports to Syria represent a new direction in Azerbaijan's energy policy, addressing humanitarian needs by reducing electricity shortages. This cooperation also enhances Azerbaijan's regional influence in the post-war recovery stage.

In conclusion, Azerbaijan's gas strategy extends beyond traditional exports, functioning as a tool of energy diplomacy, geopolitical balance, and economic resilience. The country contributes to Europe's energy security, supports Middle East recovery processes, and advances domestic energy transition. This multi-level approach positions Azerbaijan as a strategic energy actor on a global scale.