Shafag Solar Project Advancing with Major Contracts in Place

Jabrayil: The investors of the Shafag (Jabrayil) solar project, including bp, SOCAR Green, and the Azerbaijan Business Development Fund, have announced that construction activities for the project are progressing on schedule in the Jabrayil district of Azerbaijan.

According to Azeri-Press News Agency, following the final investment decision in June 2025, two major contracts have been awarded as part of the project’s development.

The Engineering, Procurement and Construction (EPC) contract, valued at approximately $117 million, has been awarded to Intec and Complant. This contract encompasses the full scope of engineering, procurement, and construction services, along with operation and maintenance for the first two years of the plant’s operations. Construction activities are currently underway, with site mobilization completed and ongoing earthworks and internal road construction.

Another contract, valued at over $29 million, has been awarded to Trina Solar (Schweiz) AG for the supply of solar panels. Under this agreement, work has commenced, and the first shipment of panels was successfully delivered to the site in August 2025, as stated by Colin Allan, director of Shafag (Jabrayil) Solar Limited (SJSL).

The construction activities are set to continue through mid-2027, with a focus on utilizing local resources. At its peak, the project is expected to generate up to 400 jobs. Additionally, a historic archaeological site was discovered during earthworks, containing artifacts potentially dating back to the Bronze to Early Iron Ages. This discovery is being assessed in collaboration with experts from Azerbaijan’s Institute of Archaeology and Anthropology.

The $200 million Shafag (Jabrayil) solar project includes the construction of a new 240MW AC solar plant. It is linked to the Sangachal terminal electrification (STEL) project via a new commercial structure, enabling the terminal to connect to the national grid. Together, these projects aim to reduce operational emissions by approximately 50% over the future life of the Sangachal terminal. The shareholding interests in SJSL are bp at 50.01%, SOCAR Green at 39.99%, and ABDF at 10%. Lightsource bp, a company fully owned by bp, is the project’s developer.