ABB wins contract from bp to support electrification of Azerbaijan facility

Published by Ellie Brosnan, Editorial Assistant
Tanks and Terminals, Wednesday, 23 July 2025 12:00

ABB has been awarded a large order by bp, as the operator of the Sangachal terminal in Azerbaijan, to support the electrification and power grid stability of one of the world’s largest oil and gas terminals. Connection to the country’s national grid will enable the electrification of the site, which covers more than 688 ha. or an area equivalent to more than 800 football pitches.

Delivered as part of a five-year global framework agreement signed with the operator of the terminal in September 2024, ABB will provide and integrate four synchronous condensers, built to a site-specific design, to enable decommissioning of the existing gas turbines.

ABB’s integrated solution decreases the number of synchronous condensers needed for the terminal, significantly reducing project cost. The ABB Ability™ System 800xA^® Distributed Control System (DCS) will be deployed to interface with the synchronous condensers to provide monitoring and supervision for the plant operators.

ABB’s synchronous condensers take up minimal footprint, while ensuring efficient and reliable operation of power grids and electrical networks. Designed to support electricity grids with short-circuit power, inertia, and reactive power, synchronous condensers play an increasingly important role for power grid stability as more renewable energy is integrated.

Azerbaijan’s national grid is integrating low-carbon energy sources to meet its climate targets of increasing renewable power capacity to 30% by 2030 and reducing its greenhouse gas (GHG) emissions by 40% by 2050¹. The share of renewables in Azerbaijan’s electricity supply has gradually increased from just over 6% in 2022 to 8% in 2023².

With contract scope spanning initial system studies to detailed engineering and installation, and commissioning, ABB’s electrification and automation solutions will play a vital role in maintaining the stability and continuity of the Sangachal terminal’s output.

“ABB helps existing energy infrastructures run leaner, by automating to make them more efficient, and cleaner, by electrifying to use less energy and decarbonise,” said Per Erik Holsten, President of ABB's Energy Industries division. “We are delighted to provide site-specific electrification and automation solutions to support bp’s efforts to decarbonise the energy ecosystem in a region where we have had a significant presence for over 25 years.”

Located 55 km south of Baku, the Sangachal terminal has a capacity to process 1.2 million bpd of oil and approximately 81 million standard cubic meters of gas³. Started in February 2025, the ABB project will take approximately 24 months to complete.

References

1. https://cop29.az/en/sustainability/energy-transition-initiatives

2. https://iea.blob.core.windows.net/assets/fe63a883-2b61-426f-bdab-85b49576fdf9/EnergyEfficiencyRoadmapforAzerbaijan.pdf

3. https://www.bp.com/en_az/azerbaijan/home/who-we-are/operationsprojects/terminals/sangachal_terminal.html

Read the article online at: https://www.tanksterminals.com/terminals/23072025/abb-wins-contract-from-bp-to-support-electrification-of-azerbaijan-facility/