LUKOIL makes investment decision on South-West Hissar project

Oil&Gas Materials 27 December 2012 13:46 (UTC +04:00)

Uzbekistan, Tashkent, Dec. 27 / Trend D. Azizov /

LUKOIL has made a final investment decision on the project to equip the gas condensate fields at South-West Hissar in the south of Uzbekistan, LUKOIL Uzbekistan Operating Company, the operator of LUKOIL in Uzbekistan said today.

'The issue of passing the project into an implementation phase and the feasibility of making main investments has been resolved', the report said.

According to the company, while preparing a final investment decision, the approved part of the project was agreed. All necessary results were obtained from the Uzbek experts. The peer review of the project and an independent valuation performed by IPA Company were conducted.

The decision was approved by the steering committee. While preparing the final investment decision, the integrated project management system has been widely applied. This includes a technical and comprehensive peer review, independent evaluation, workshops on risk evaluation and 'learned lessons' and examination of the work schedule, formation of a set of documents for making a decision and a plan to increase the value of the project.

Use of the integrated project management system will be continued while implementing the project, the company said.

LUKOIL joined the South-West Gissar project in March 2008. Seven fields namely the gas condensate Adamtash, Jarkuduk - Yangi Kyzylcha, Gumbulak, Amanata and Pachkamar, oil and gas condensate South Kyzylbayrak and oil Koshkuduk with approved geological reserves of about 100 million tons of standard fuel are located on the contract area of Kashkadarya.

The PSA was signed in January 2007 for a term of 36 years and came into force in April 2007. Single operator Lukoil Uzbekistan is operating on the contract area.