Azerbaijan, Baku, Aug. 20 / Trend E.Ismayilov /
Topside construction on a platform within the Chirag oil project will take 2.5 years, an inside industry source told Trend today. The platform will increase oil production on the offshore block of the Azeri-Chirag-Guneshli (ACG) fields.
The topside construction has already begun.
The Amec-Azfen-Tekfen (ATA) alliance will carry out the construction near Baku, the source said.
Based on a contract with the Azerbaijan International Operating Company, the ATA will build platform's upper modules and drilling facilities, commission the platform and conduct performance tests. The cost of the contract is approximately $340 million.
"Construction has launched," the source said. "Several sections of the topside are being built at the moment. Once they are ready, the company will assemble them."
The construction consists of two phases. The first phase includes producing the parts and the second phase covers their installation.
"The parts will be built in phases and then they will be gradually assembled," the source said.
The company will also construct a residential block for the platform.
The ATA is holding preparatory work on the site. It has already built technological platform topsides under the ACG project.
The Chirag oil project involves building the new West Chirag platform, which will be installed at a depth of 170 meters between the already-running Chirag and Guneshli production platforms.
Most construction activities under Chirag 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 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 ACG production-sharing agreement.
The agreement was signed in September 1994. It 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).