COVID-19 forces to postpone projects at Kazakhstan's major oil fields

Oil&Gas Materials 29 December 2020 13:47 (UTC +04:00)
COVID-19 forces to postpone projects at Kazakhstan's major oil fields

BAKU, Azerbaijan, Dec. 29

By Nargiz Sadikhova - Trend:

The implementation of some oil and gas projects was somewhat postponed in Kazakhstan due to the COVID-19 pandemic, Kazakhstan’s Ministry of Energy said, Trend reports citing the Association of oil service companies of Kazakhstan.

The ministry said that the temporary suspension of permits for the entry of foreign specialists affected the timing of construction work, whereas the closure of borders led to difficulties in the supply of imported components and equipment.

To date, the overall implementation process on the Tengiz, Karachaganak and Kashagan expansion projects corresponds to the plan. The COVID-19 pandemic did not affect the Tengiz Future Growth Project. The works are going in accordance to the schedule, whereas some uncritical works were postponed till 2021.

The launch of projects to remove production restrictions and the 4th gas re-injection compressor is planned at the Karachaganak field in 2021. The final investment decision was made on the construction of the 5th gas re-injection compressor this year.

In turn, the implementation of projects for the construction of new wastewater treatment facilities at the onshore complex and the modernization of gas re-injection compressors continues at the Kashagan field.

The first commercial oil production started at Kashagan in 2016. The project operator North Caspian Operating Company (NCOC) shipped the first million tons of oil for export in early 2017. NCOC has reached a record- breaking volume of oil extraction at the field (390,000-400,000 barrels a day) in 2019.

Karachaganak is one of the largest oil and gas condensate fields in Kazakhstan. Karachaganak Petroleum Operating produces oil and gas from the Karachaganak field. The shares in the consortium are as follows: Eni - 29.25 percent, Royal Dutch Shell - 29.25 percent, Chevron - 18 percent, Lukoil - 13.5 percent and KazMunayGas - 10 percent.

Kazakhstan’s Tengiz oil field ranks as the world’s deepest producing giant oil field and the largest single-trap producing reservoir in existence. Nearby is another world-class reservoir called the Korolev Field. Chevron company holds a 50-percent interest in Tengizchevroil, which operates the two fields.


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