Russian state-owned energy giant Gazprom and Azerbaijan’s SOCAR, the State Oil Company of Azerbaijan Republic, have agreed to enhance their extensive strategic partnership, in an announcement made during Russian President Vladimir Putin's visit to Baku.

According to local media reports, a Gazprom delegation led by management committee chairman Alexey Miller participated in events held during Putin's state visit.

Miller emphasised that the partnership-based collaboration between Gazprom and the state-owned oil company is “mutually beneficial” and is “developing dynamically.”

As an example of the progress being made, he cited the North-South project, or the comprehensive scientific and technical program” to be signed next month while the agreement has been "reached to broaden the multifaceted strategic partnership.”

Iran and Russia also collaborate to enhance trade connections and shared transportation infrastructure through the International North-South Transport Corridor.

This corridor links India and the Persian Gulf with Russia and Northern Europe, playing a vital role in trade and relations between the two countries.

Putin and Azerbaijan’s President Ilham Aliyev reportedly met in Baku to prioritise business connections between the two nations, and Aliyev disclosed that $120m would be spent to enhance cargo transportation between the two nations.

“Russia and Azerbaijan are important economic partners for each other. Trade has exceeded $4bn and is steadily growing, adding 17% in the first six months of this year. Furthermore, over $4bn has been directly invested in the Azerbaijani economy,” Putin said, as cited in a Kremlin press release.

Aliyev said the two countries have considered the “possibility of transporting 15 million tonnes of cargo or more, up to 30 million, per year. In this case, I hope that both Russia and Azerbaijan and other participants in this corridor will continue their activities together”.

He added that as for the “energy sector, the situation was analysed in detail both in the oil and gas sector and the power industry ... and I am confident that we will continue to coordinate our activities”.

Russia’s priority includes strengthening ties with countries such as Azerbaijan to ensure access to global markets due to sanctions following Russia's war on Ukraine.