Letter from Azerbaijan: Net-zero strategy to reshape South Caucasus
ExxonMobil’s MOU with SOCAR, unveiled in Washington alongside the peace agreement with Armenia, highlights how the Karabakh net-zero zone is part of a wider strategic realignment
In the mountains and valleys of Nagorno-Karabakh, the guns have fallen silent, replaced by the busy sounds of construction machinery, articulated transport and industrial activity in a once-predominantly rural and agricultural landscape. In the city of Aghdam—dubbed the ‘Hiroshima of the Caucasus’ after it was systematically ravaged during 30 years of occupation—housing, hotels, schools, hospitals and industrial sites are being built anew, at the expense of the government in Baku. The same is true of many of the towns that lay in Karabakh and the occupied surrounding areas of the country. It is not simply a matter of reconstruction. The declaration that the territory—contested between Armeni
Also in this section
28 April 2026
Oil traders warning of $200/bl oil are wrong, and the market should be wary of proclamations that the impact of the oil shortage has only begun to be felt and a that a ‘harsh adjustment’ is coming—even for industrialised nations
28 April 2026
Restoring supply from Saudi Arabia, the UAE, Kuwait, Qatar, Bahrain and Iraq involves complexities far beyond simply adjusting operational controls
28 April 2026
Datacentres will guzzle power at a ferocious rate, but the impact on wider energy markets will be far more complex than previously thought
28 April 2026
The key energy player faces balancing regional routes, political complexities, and creating a clear strategic vision for energy security






