The Pirallahy Island field is located on the island of the same name in the east of the Absheron Peninsula, 60 km from the centre of Baku. The width of the island in the northern part is 4.5 km, gradually decreasing to 1.5 km in the south. The total length of the field is 10-12 km. Both folds have a brachyanticlinal structure.
Academician G. Abix gave the first geological information about the underground resources of Pirallahi Island in 1861. Although it is possible that the drilling works were carried out earlier, the first oil exploitation well on the island dates back to 1870, and oil was extracted from the well, which was 132 meters deep. The first search and exploration work in the field were started by the "Nobel brothers" company in 1897 and they started drilling exploration wells with several drilling rigs. The first oil of industrial importance was produced in December 1902 from well No. 44 from the KS3 horizon with a daily production of 3.2 tons. That year is considered the beginning of the development of the "Pirallahi Island" field.
In 1928-1929, it was determined that the oil field had formed in the northern part of the island and extended about 3-4 km from the shore to the sea. However, on the island, based on the 10th mine, the Pirallahy mine was created in the Bibiheybat group system.
Seismic exploration works were carried out in the field of "Pirallahi Island" in 1957, 1962, 1966, 1970 and 2023.
Although drilling is thought to have taken place earlier, the island’s first oil well was discovered in 1870 and oil was extracted from a 132 m deep well. Exploration and drilling began in 1897. At that time, the Nobel Brothers began drilling exploratory wells with several rigs. The first industrial oil was extracted in December 1902 from well No. 44. That year is considered the beginning of the development of the Pirallahy Island field. In 1928-29, it was determined that the main part of the island’s oil fields is located on the northern border of Pirallahy Island, under the Caspian Sea. At that time, Pirallahy mine was created on the island, on the basis of the 10th mine, in the system of“Bibiheybat mining group.
During the Soviet period the island’s name was changed to Artyom and the oil field was also known as Artyom. In 1935, for the first time in the world, offshore oil production began in Pirallahy Island, and since then, drilling has been carried out in a large area north of the island. The first well drilled here was called “the first well” by the oilmen. The well confirms our oil history and the fact that the world’s first offshore well was drilled in Azerbaijan. In 1940, the sea was artificially drained and "Dam" was built in the form of a narrow strip and the island was connected with the Absheron peninsula. Drilling of exploration wells in the Pirallahi Island field continued until 1961. During this time, 79 wells were drilled; oil was obtained from 49 of them, 8 were canceled for technical reasons and 11 for geological reasons.
Well No. 157, drilled in 1935 on steel poles, 520 m off the coast, is still operating.
The Artyomneft Oil and Gas Production Department (OGPD) was established here in 1936. In 1952, the oil production of this OGPD reached a record level - 1.5 million tons. Pirallahy Island, which has an important place in the world’s oil industry, has been exploited for more than a century.
As of the 1st of January 2024, a total of 1,214 wells have been drilled in the field, 29.359,4 thousand tons of oil, 2.5 million m3 of dissolved gas has been produced, and 19.841 million m3 of water was pumped into the reservoirs.
Up to date, the operational fund of the Pirallahy Island field consists of 251 wells. 234 of these wells are in operation, 17 wells are inactive. The field is in the final IV stage of the development. Of these, 253 wells are in operation and 31/3 wells are in idle fund. The field is currently in the final - IV stage of development.
The Pirallahy Island field is operated by Absheronneft OGPD of SOCAR’s Azneft PU.