Over 50 percent of construction work completed within Chirag oil project

Azerbaijan, Baku, March 1 / Trend E.Ismayilov/

More than 54.7 percent of construction work completed within the Chirag oil project implementation (COP - an increase of oil production on the block of fields "Azeri-Chirag-Guneshli"), BP report as of 2011 (operator developing ACG) said.

"In 2011, Chirag Oil Project (COP) construction activities continued on schedule and according to plan," the report said. "Overall the project has made very good progress at all of fabrication sites with 54.7 per cent of work scope already completed."

The operations are conducted at the ATA (AMEC-Tekfen-Azfen) yard and at Baku Deepwater Jackets Factory (BDJF). All these operations will be continued in 2012.

The Chirag oil project pre-drill programme has resumed on J05 well, which is planned to be finished by the end of the first quarter of 2012. It is planned to do the same drilling activity on J07 and J11- in the second quarter, J10 and J14 - in the third quarter, J08, J13 and J12 - in the fourth quarter of 2012, the report said.

The Chirag oil project involves the construction of the new West Chirag platform which will be installed at a depth of 170 metres between the Chirag and Gunashli production platforms.

An advanced drilling project is planned for the period until the first half of 2012. This will then be carried out from the Dada Gorgud installation. First production from the platform is scheduled for late 2013.

It is planned to produce 300 million barrels of oil until the end of the contract by ACG in 2024.

The contract to develop the large Azeri-Chirag-Guneshli offshore field was signed in 1994.

Equity participation in the contract is distributed as follows: BP (operator of the Azeri-Chirag-Guneshli - 35.78 per cent, Chevron - 11,27 per cent, Inpex - 10,96 per cent, AzACG - 11,65 per cent, Statoil - 8 56 per cent, Exxon - 8 per cent, TPAO - 6.75 per cent, Itocu - 4,3 per cent, and Hess - 2,72 per cent.

The investments made to the Chirag oil project implementation will hit $6 billion.