Over 85% of works within Chirag oil project completed

Oil&Gas Materials 2 March 2013 13:23 (UTC +04:00)

Azerbaijan, Baku, Mar. 2 / Trend E.Ismayilov /

Overall up to date the Chirag oil project has made very good progress at all fabrication sites with 86 % of work scope already completed with very high safety achievements, a BP report on 2012 results says.

According to the report, all the necessary work is carried out in the ATA (AMEC-Tekfen-Azfen) yard, as well as the the Heydar Aliyev Baku Deepwater Jackets Factory.

Topsides fabrication at the ATA yard is about 97% complete with sail-away planned for the second quarter of 2013, the report says.

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.

Investments in the Chirag oil project amount to $ 6 billion. First production from the platform is scheduled for late 2013.

It is planned to extract over 300 million barrels of oil during the Azeri-Chirag-Guneshli (ACG) contract period, which expires at the end of 2024.

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. Hess sold its share to Indian ONGC and the deal is expected to close in the first quarter of 2013.