Major events in Caspian countries' oil and gas industry for last week (Dec.05-10)

Analysis Materials 12 December 2011 17:35 (UTC +04:00)
Azerbaijan, Switzerland expand cooperation in energy sector
Major events in Caspian countries' oil and gas industry for last week (Dec.05-10)

Azerbaijan, Switzerland expand cooperation in energy sector

Azerbaijan will study the Swiss transportation system set up to deliver its gas to the country, the agreement out of the fifth meeting of the joint Azerbaijani-Swiss Commission for Trade and Economic Cooperation stated which was signed in Baku on Thursday. The agreement envisages the continuation of negotiations related to the expansion of cooperation with the Swiss companies to implement the project of the Trans-Adriatic pipeline and deliver natural gas to Switzerland. The document includes the study of the European and Swiss energy markets' experience in carrying out reforms in the Azerbaijani energy sector.

Kazakh Parliament adopts law on gas and gas supply

The Kazakh Senate (upper house of the Parliament) adopted a law on gas and gas supply. According to the law, the government will determine the limit of wholesale price on liquefied gas. Moreover, a common gas supply system will be created in Kazakhstan following the law. MPs amended the draft law, in particular, they offered introducing accreditation of gas network organizations to exclude short-lived firms, which have no relevant material and technical base, from the gas market. Senators also considered in two readings and adopted a draft law "On introducing amendments and additions to some legislative acts of Republic of Kazakhstan on gas and gas supply".

Tender announced on project of Azerbaijani gas supply to Europe

SC AGRI LNG Project Company SRL (AGRI) announced the tender for proposals related to the preparation of the feasibility study, the scope of which is to assess the technical, financial and economical viability of the energy cooperation project named Azerbaijan - Georgia - Romania - Hungary Interconnector. AGRI Company invited all the companies having necessary experience and capability to carry out the feasibility study to submit their Proposals. The Shareholders of AGRI are SOCAR, Georgian Oil and Gas Corporation, MVM from Hungary and Romanian "Romgaz". The Chairman of the AGRI Company Board of Directors is SOCAR Deputy Vice-President.

Iran discovers new gas field in Caspian Sea

Iran discovered a news gas field in the Caspian Sea with at least 50 trillion cubic feet (about 1.4 trillion cubic meters) of reserve, the National Iranian Oil Company reported. Iranian Oil Minister Rostam Ghasemi said that the deposit is located at a depth of 700 meters. He said details of the gas field discovery will be announced later.

Russian company signs contract on project in Turkmen sector of Caspian Sea

The Russian Itera has signed a contract with Marine Technology Center Shelf to prepare a feasibility study within the project to develop Block 21 in the Turkmen sector of the Caspian Sea, the company said today.
The contract includes the preparation of a feasibility study to drill the exploratory well.
Itera and the State Agency for Management and Use of Hydrocarbon Resources under the Turkmen President signed a production sharing agreement for Block 21 in September 2009.

Iran starts building 420km oil pipeline

The construction of one of the major oil pipelines in Iran, to the length of 420 kilometers, started with around $260 million investment, Mehr news agency reported.
The Naeen-Kashan-Rey pipeline is projected to be built within 32 months, aiming to transfer oil products from southern refineries to Tehran and northern regions of the country, the report added.
Currently, over 13,000 kilometers of oil pipelines are in operation across the country, which should be expanded to 16,500 kilometers by 2015 according to the fifth five-year development plan.

BP ceases using 'Central Azeri' platform for planned operations in Azerbaijan

BP, the operator developing the block of offshore fields Azeri-Chirag-Guneshli in Azerbaijan, has recently stopped work on the Central Azeri platform which is part of the technical maintenance programme of three extractive platforms in the Caspian Sea. The platform will be commissioned in mid-December. Prior to this the company had held tests and commissioned the Eastern Azeri and Western Azeri platforms. According to the plan, the production on the three platforms, Eastern Azeri, Western Azeri and Central Azeri will be suspended in a planned sequence to ensure efficient technical maintenance. The Azeri technical maintenance programme includes general, mechanical, instrumentation and other work.

Tengiz oil field in Kazakhstan catches fire

A fire broke out at Tengiz oil field in Kazakhstan in one of Integrated production line 1's (KTL 1) oil treating plant, Tengizchevroil (TCO) reported. No victims were reported. The situation is under control. The area affected by fire was closed and will be commissioned after security control. TCO and relevant authorities is investigating the cause of the fire.