BP entrusts KBR-SOCAR JV with terminal electrification and giant gas field’s next phase

July 15th, 2025

KBR, a U.S.-headquartered science, technology, and engineering player, has won new assignments in Azerbaijan with the UK-headquartered BP, thanks to its joint venture with SOCAR, known as SOCAR-KBR, which will undertake detailed engineering design solutions and procurement services for two projects designed to contribute to the country’s energy security.

Shah Deniz gas field offshore Azerbaijan; Source: Southern Gas Corridor (SGC)

SOCAR-KBR’s two contracts with BP will enable the JV to support the Shah Deniz compression (SDC) gas field development and the Sangachal Terminal Electrification (STEL) project, said to be Azerbaijan’s largest oil and gas reception terminal.

These deals to handle detailed engineering design solutions and procurement services for both projects come after SOCAR-KBR previously completed the project front-end engineering design (FEED) for the STEL project and the pre-FEED and FEED for the SDC development.

While explaining that more than 95% of the SOCAR-KBR Baku-based team is composed of Azerbaijani engineers, designers, and other professionals, the firm elaborated that its Baku office will deliver the project with the expertise of local subject matter experts and support from the company’s global team.

Jay Ibrahim, President of KBR Sustainable Technology Solutions, commented: “KBR has been delivering world-scale energy solutions in the region for over three decades and these projects mark a significant step in Azerbaijan’s clean energy security objectives.

“The Sangachal terminal, which was designed by KBR and serves as a vital link between Azerbaijan and the rest of Europe, will enable the country’s transition to national grid supply and reduce emissions. The Shah Deniz compression project marks the next stage in the evolution of delivering safe and efficient solutions.”

The contract awards come over a month after BP confirmed final investment decisions for multiple projects, including these two. The completion of the SDC project is slated for 2029, enabling first gas for compression from the Shah Deniz A platform in 2029 and from the Shah Deniz B platform in 2030.

These assignments follow KBR’s global agreement with BP, which builds upon the duo’s decades-long relationship.