Tashkent, Uzbekistan, Sept. 14
By Demir Azizov- Trend:
The government of Uzbekistan has approved a feasibility study of the first phase of the project "Construction of a complex of a gas processing plant and development of Kandym group of fields" implemented by Russian LUKOIL.
The government decision was published Sept.14 in the national database of legislation of Uzbekistan.
The first phase (2015-2018) envisages construction of a gas processing plant of Kandym group of fields with an annual production capacity of 7.819 billion cubic meters of marketable gas, 134,360 tons of stable gas condensate and 212,900 tons of elemental sulfur, according to the document.
In addition, the project provides for development of 77 wells, construction of six plots, two collection points, pipelines to export gas, shift camp sites and external infrastructure.
The first phase of the project is scheduled for completion in December 2018.
In accordance with the decision, the second phase of the project (2020-2029) provides for development of 21 design wells of the project, the construction of two plots, two booster compressor stations at gas gathering points of the Kandym deposit, power supply facilities, communications and transport infrastructure.
The third phase (2028-2029) provides for development of 16 design wells of the Khoji, West Khoji, Akkum-Parsankul fields with the construction of plots, two assembly points and two compressor stations.
After completion of all three phases of the project, the maximum annual production in the group of fields is expected to reach 8.1 billion cubic meters of natural gas.
Construction of Kandym gas processing plant is being carried out within the framework of Kandym-Khauzak-Shady PSA, which was signed with Uzbekistan in June 2004 with a validity of 35 years. The PSA came into force in November 2004. The partners in the agreement are the LUKOIL with a share of 90 percent and Uzbekneftegaz National Holding Company with a share of 10 percent.
The agreement provides for the development of deposits Hauzak, Shady and the Kandym group consisting of six gas condensate fields, namely: Kandym, Kuvachi-Alat, Akkum, Parsankul, Khoji and West Khoji. Production at the Hauzak site began in autumn 2007.
It was previously reported that LUKOIL Uzbekistan Operating Company (LUKOIL projects operator in Uzbekistan) and a consortium of companies led by the Korean Hyundai Engineering signed a contract for the supply of equipment and construction of a gas processing plant complex and development of Kandym group of fields on a "turnkey" worth $2.662 billion in 2014.
Total investment in the project is estimated at more than $3 billion.
Edited by CN