Preparations underway for major oil project in Azerbaijan
Azerbaijan, Baku, July 20 /Trend/
BOS Shelf is preparing to increase oil production at the offshore Azeri-Chirag-Guneshli (ACG) fields under the Chirag oil project. The preparations are being held at the State Oil Company of the Azerbaijan Republic's (SOCAR) Heydar Aliyev Baku Deep Water Jacket Factory.
The company is mounting a new rolling machine to produce pipes with a thickness of up to 150 millimeters. Earlier the plant was able to produce pipes with a thickness of about 100 millimeters. According to an industry source, this will be the enterprise's fifth rolling line.
Most of the construction activities under the Chirag oil project will be held in Azerbaijan. A drilling platform module will also be assembled, which was built abroad for previous projects.
The expected daily volume of gas production from the new platform will be 229 million standard cubic feet (more than 6.5 million cubic meters). The estimated daily volume of gas injection into the platform layer will be 80 million standard cubic feet (about 2.3 million cubic meters). Chirag envisages the construction of a new platform called "West Chirag," the construction of pipelines and the performance of other activities on Guneshli. The platform will be installed at a depth of 170 meters between the already-running Chirag and Guneshli production platforms.
The new platform's construction is scheduled to begin in late 2010. The Dede Gorgud Rig will perform the drilling. The project is expected to get oil in 2013.
The Chirag project will add more than 300 million barrels of crude oil to the pipeline under the Azeri-Chirag-Gunashli PSA.
The PSA was signed in September 1994. The agreement provides for the development of the contract area within 30 years. The project requires $20 billion in investments.
ACG participating interests are: BP (operator - 34.1 percent), Chevron (10.2 percent), SOCAR (10 percent), INPEX (10 percent), StatoilHydro (8.6 percent), ExxonMobil (8 percent), TPAO (6.8 percent), Devon (5.6 percent), ITOCHU (3.9 percent), and Delta Hess (2.7 percent).
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