New workover rig to start operations onshore Azerbaijan in a month: Zenith Energy
Baku, Azerbaijan, Feb.5
By Leman Zeynalova – Trend:
Deployment of A-100 workover rig to field operations onshore Azerbaijan is expected in March 2019, Trend reports citing Canada’s Zenith Energy, which is the operator for development of Muradkhanli-Jafarli-Zardab oil fields in Azerbaijan.
The company said that it has ordered ancillary drilling equipment for a total of 722,000 euros and its shipment is currently in progress to Azerbaijan with BD-260 drilling rig.
“BD-260 is currently en route to Azerbaijan. Deployment to field operations is expected in early March 2019,” said Zenith Energy.
Moreover, the company said that line pipe replacement program is ongoing to modernize field infrastructure.
At the same time, oil storage tank reconstruction is in progress with first 2,000 cubic meters tank now undergoing safety testing and the work on second tank is to start in March 2019, said Zenith Energy.
Azerbaijan’s state oil company SOCAR and Zenith Aran Oil Company signed a Rehabilitation, Exploration, Development and Production Sharing Agreement (REDPSA) in March 2016 for a block that includes the Muradkhanli, Jafarli and Zardab oil fields. Zenith Energy Ltd established its subsidiary company Zenith Aran Oil Company Ltd for production operations in these three fields. Production under the agreement began in August 2016.
Zenith holds an 80-percent participating interest in the three fields within the contract area, while SOCAR retains the remaining 20 percent. The agreement is for 25 years, with a potential extension by five additional years.
The total area of the Muradkhanli, Jafarli and Zardab fields is 642.2 square kilometers, and according to the contract, it is divided into rehabilitation and exploration territories.
The Muradkhanli-Jafarli-Zardab block is located in the Yevlakh-Agjabadi oil and gas region of Imishli district of Azerbaijan. The Muradkhanli field was discovered in 1971, Jafarli - in 1984, and Zardab - in 1981.
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