On December 15, Malta and Azerbaijan signed a memorandum of understanding on strategic cooperation in the oil and gas sector. The Azerbaijan Ambassador to Malta, Vaqif Sadiqov, is disappointed by what he sees as negative perceptions of his country.

There has been a lot of interest to the Maltese-Azerbaijani relations in Maltese media in general, and to a number of aspects related to Azerbaijan, in particular. This is good as it, on the one hand, reflects the growing attention of the Maltese public to development of relations with the emerging partners going beyond the traditional geographic domain of this country’s foreign policy interests.

On the other hand, it points at a considerable lack of information about today’s Azerbaijan, the ­region in which it is located, and the potential for cooperation between our two countries.

Azerbaijan carries out an independent, active and robust foreign policy, the pillars of which are our national interests and achievements in political, economic and social spheres.

Bilateral and multilateral relations are part of our foreign policy aimed at establishing external conditions conducive for further internal reforms. Our foreign policy is guided by the norms and principles of international law, and compliance with inter­national commitments.

Azerbaijan is building strategic co­­operation with the outside world based on good neighbourly relations, non-interference in internal affairs, equality and mutual respect and fruitful collaboration.

In accordance with geography, history, traditions and geopolitics, the foreign policy of Azerbaijan is not confined to only one region. Bearing in mind its numerous pillars, such as South Caucasian, Caspian, South-East European, Central Asian, Islamic world, post-soviet and Euro-Atlantic dimensions, a multi-faceted foreign policy has been pursued by Azerbaijan through the Caspian, Black Sea, and Mediterranean basins.

It has been as the result of such policy that Azerbaijan is perceived around the world as a reliable partner, and the number of states wishing closer cooperation with Azerbaijan is growing. Our membership in the UN Security Council in 2012-2013 is a good example of this.

In 2014, international relations continued to be challenged by crises and confrontations, growing division along political-military clusters, the emergence of new hotspots of conflicts and transnational threats in the proximity of Azerbaijan.

One such threat is the ongoing armed conflict with neighbouring Armenia has not yet found its just solution based on the norms and principles of international law.

We believe this purely commercial project could have, in principle, an impact on the electricity cost reduction for the public

The silence of the international community about this gross violation of sovereignty has led since the 1990s to similar situations in Georgia, Moldova, and today in Ukraine. Thus, safeguarding the independence and sovereignty of Azerbaijan, eradicating the consequences of Armenian aggression, promoting economic interests, energy and transport strategy, disseminating true information on Azerbaijan around the world, and relations with the multi-million Azerbaijani diaspora are foreign policy priorities.

It is based on this vision that Azerbaijan is interested in strengthening its relations with Malta. Today’s level of relations establishes a good foundation for further cooperation in many spheres: political, economic, commercial, energy, culture, education, tourism, etc.

This is also part of our policy towards the European Union, with which we enjoy a wide network of relations in different spheres, under­pinned by a number of legal documents. In general, we would like to raise our relations with the EU to the level of strategic cooperation based on mutually beneficial and equal partnerships.

The recent visit of Prime Minister Joseph Muscat to Azerbaijan was an important event as it was the first ever of its kind. It took place at a time when our relations with the EU and Malta in particular are gaining momentum despite serious challenges and far-reaching processes taking place in the EU, in the South Caucasus, and in adjacent areas in the Mediterranean, Middle East, North Africa, etc.

Dr Muscat’s meetings with the President and Prime Minister of Azerbaijan provided a good opportunity for a wide-ranging discussion about present bilateral relations and prospects for their development, as well as on major international issues important for the both countries.

The MOU on strategic cooperation in oil and gas sectors signed by the two energy ministries paves the way for further cooperation in the energy field on the basis of mutual interests.

Azerbaijan is becoming an important political, security and economic partner for the EU, and our relations in the energy security and projects carried out by the initiative and with direct participation of Azerbaijan could be beneficial for Europe, including Malta.

There could be a number of projects to be discussed with Malta for a mutual benefit, and my country is ready to engage in these discussions.

The Trans-Anatolian and Trans-Adriatic pipelines bringing gas from Azerbaijan to Europe will be implemented by 2019, and will significantly change the European energy landscape, bringing new volumes of gas to the growing market of Europe. Malta, as a country for which energy security is an important factor, could also benefit from the new developments in this sphere.

The possible gas pipeline connection between Malta and Italy could also be possible in a mid-term perspective once the two countries agree on this.

Malta has also a special role in the oil transportation (fuelling, bunkering, etc.) in the Mediterranean.

There has been a lot of media interest in the LNG project established by Electrogas consortium in Malta, in which Azerbaijan’s State Oil Company (Socar) is one of the participants.

We believe this purely commercial project could have, in principle, an impact on the electricity cost reduction for the public, and we believe in a successful execution of this project for the benefit of the local population.

What the MOU means

The government has not published any details of the memorandum of understanding (MOU) signed with Azerbaijan after an unpublicised visit last month. Ambassador Vaqif Sadiqov, who was present at the signing in Baku, did his best to fill in the blanks.

The MOU refers to oil and gas infrastructure. What does Azerbaijan’s state owned oil company, Socar, have in mind? How could Malta help?

Socar is active in a number of sectors in oil and gas industry. With its main sales outlets and terminals located in the ports of Georgia and Turkey, it considers the Mediterranean as a potential market. Malta’s infrastructure can serve as an important element of Socar’s development strategy offering opportunities in blending, bunkering and pure storage.

No specific projects exist yet, but the MOU signed in Baku paves the way for business development teams of both countries to work on analysing options that Malta could offer Socar.

There are many ideas floating around, but any specific project would need to be addressed directly to Socar. That said, the Electrogas Malta project where Socar’s trading subsidiary holds 20 per cent, is already an important strategic project for both sides.

Azerbaijan already has a gas pipeline planned to southern Italy. Are you considering extending this to Malta?

As I have mentioned earlier, the gas pipeline connection between Malta and Italy could also be possible in a mid-term perspective once the two countries reach an agreement on this.

Is there a role for Malta to play in transhipment of oil from the Turkey pipeline?

I am not aware of any specific plans in this field at present. I think Socar is in a better position to address these issues.

Azeri Ambassador Vaqif Sadiqov will be giving a talk on bilateral opportunities at the Malta Chamber of Commerce, Enterprise and Industry in Valletta on Thursday January 22 at 9.30am.

For further information contact the Chamber by telephone on 2123 3873.

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