BP PLC temporarily halted output at a massive Caspian Sea gas field off the coast of Azerbaijan because of technical problems.

Production at the Shah Deniz field began just over a week ago.

BP's subsidiary in Azerbaijan said it would take all necessary measures to ensure the safe exploitation of the gas field. It said it could not identity the nature of the problems until full checks had been carried out.

The news is worrying for Georgia and Azerbaijan, which are counting on gas supplies from Shah Deniz to avoid reliance on expensive Russian gas.

At peak capacity, the Caspian field is expected to produce 300 billion cubic feet of gas and 14.6 million bbl of gas condensate per year.

Energy supplies from Azerbaijan's Caspian fields are playing an increasingly important role in the region, as Russia has hiked prices for its natural gas.

Shah Deniz came onstream on Dec. 16.
Source: AFX