New operator to be created for developing Kazakhstan’s Kashagan field (UPDATE)
Details added (first version posted on 15:06)
Astana, Kazakhstan, May 27
By Daniyar Mukhtarov - Trend:
A new operator will be created for developing Kazakhstan's Kashagan oil and gas field, the country's Oil and Gas Minister, Uzakbai Karabalin said at a press conference on May 27.
"The operating company NCOC is undergoing transformations, and accordingly, a new unified management system is being created. That's to say, a new operator will be created for the Kashagan field. It will include the best specialists of all the contractors of the consortium," Karabalin said.
He went on to add that all the contractors participate in the creation of the new operator.
It is planned to complete the creation of a new operator to develop the field by September.
A new operator is being created in order to ensure more effective work at the field.
"We were not so satisfied with the work organization system at the Kashagan field. It was costly and the decision-making was difficult and took too much time. Now, the management system will be simplified, as the project is moving to the production period and efficiency is needed in decision-making," the minister said.
A new director general of the new operator has already been appointed.
The reserves of the Kashagan field are estimated at 35 billion barrels of oil and some 11 billion barrels of this volume is considered as recoverable.
Oil production at Kashagan started in September, 2013, but in October its operation was suspended after a gas leak appeared in one of the main pipelines.
The NCOC consortium earlier said that the production at the field is expected to be resumed in 2014.
The shareholders of the consortium are Eni, Royal Dutch Shell, Exxon Mobil, Total and KazMunaiGas, CNPC and Inpex.
Edited by C.N.