Major events in Caspian countries' oil and gas industry for week

Analysis Materials 22 October 2012 13:58 (UTC +04:00)
The share that the partners in the development of the Shah Deniz gas condensate field are going to have in a pipeline project, will depend on organization of decision making system, high ranking SOCAR representative said.
Major events in Caspian countries' oil and gas industry for week

Shah Deniz consortium to take part in European decision making process

The share that the partners in the development of the Shah Deniz gas condensate field are going to have in a pipeline project, will depend on organization of decision making system, high ranking SOCAR representative said.

In his words, just 1 per cent is sufficient to have a complete negative veto in the system with unanimous voting. In case vote, based on the principle of 50 per cent, the consortium participants would like to have 51 per cent of share in this project.

"We need such a share, which will enable participation in decision making process, this depends on the system. We are working on that," SOCAR representative noted.
Shah Deniz partners are currently considering two potential transportation projects of Azerbaijani gas to Europe - Nabucco West and Trans Adriatic Pipeline (TAP).These projects are considered on the same criteria in order to make a decision on route choice till May of next year.

BP to continue cooperating on Azeri-Chirag-Guneshli for benefit of Azerbaijan

BP leadership agreed to continue working closely with Azerbaijan's state oil company SOCAR and the partner group to manage oil production from the Azeri-Chirag-Guneshli fields in the Caspian Sea for the benefit of the State of Azerbaijan and its partners, BP-Azerbaijan said.
According to the statement, the president of the SOCAR, Rovnag Adbullayev, and his senior executive team on Wednesday met BP group chief executive Robert Dudley and the BP upstream executive team in London.

"It was an open and constructive meeting and the task ahead is clear. BP is fully committed to Azerbaijan and the effective management of the ACG field complex, one of the world's great oil fields", Dudley said.

BP intensifies work on wells in Azerbaijan

Ten new specialist engineers will join the wells team in Baku, BP said.
They have been hand-picked from BP's global assets - Alaska, North America, North Sea, Angola and Egypt.

Jim Cowie will take office as Vice President Wells, succeeding Gary Christman since November 15.

His expertise includes complex high pressure / high temperature projects, and wells drilled from both mobile and platform rigs. Jim He will lead the team of over 300 wells experts in Baku.

Azerbaijani Institute of Geology, RWE sign agreement

Geology Institute of Azerbaijan National Academy of Sciences and the German RWE signed a cooperation agreement, the Institute said.

According to the report, the purpose of the agreement signing - the study of oil and gas reserves at south of Absheron and transition strip between sea and Gobustan land.
The agreement signed by the Director of the Institute Akif Alizadeh and project manager for Azerbaijan Junger Schober.

Iran allocates $945 million for gas supply projects

The Iranian administration has approved 1.16 trillion rials (about $945 million) for the implementation of gas supply projects in North Khorasan Province, IRNA quoted the National Iranian Gas Company's managing director Javad Owji as saying.

Supplying gas to 410 villages and expanding the pipeline network across the province were also approved, Owji said.

Iran will inaugurate a 700 kilometre length of new gas pipelines nationwide by the end of the current calendar year which ends on March 20, 2103, the managing director of Iran's Gas Engineering and Development Company said in June.

Alireza Gharibi told the Mehr News Agency that five new gas transfer facilities will be also built in the current year.

The length of the Iranian gas pipeline network has reached 214,000 kilometres, the manager of gas supply services at the National Iranian Gas Company (NIGC) said, the Shana News Agency reported on May 11.

During the last Iranian calendar year, some 22,000 kilometres of gas pipeline were constructed across the country indicating a 33 per cent growth in comparison to a year earlier.

Data shows new oil and gas reserves for Iran in Persian Gulf

Conducting four-dimension seismic monitoring in the Persian Gulf show Iran 's oil and gas reserves have been increased in the region, the Mehr News Agency quoted Iranian Offshore Oil Company's managing director Mahmoud Zirakchianzadeh as saying.

The operations have been carried out at the Abouzar oilfield and Forouz-B gas field in the Persian Gulf, he added.

Largest phase of Iran's South Pars gas field 82 per cent complete

The development of the largest phase of Iran's South Pars gas field (phase 12) is now 82 per cent complete and will be inaugurated in the calendar month of Bahman (January 20-February 18), ISNA quoted the managing director of Petropars Company, Mohammad-Javad Shams, as saying.

The development of the onshore section of the phase 12 has progressed by 50 per cent, he said, adding that phase 12 will start early production in the month of Bahman. Shams added that one billion cubic meters of gas will be produced at the first stage.

In May, Shams said that $6.9 billion will be invested to develop phase 12 of the South Pars.
On March 14,the Mehr News Agency quoted deputy oil minister Javad Owji as saying that Iran will inaugurate six phases of the South Pars gas field by the end of the current calendar year (March 20, 2013).

Once the phases come on stream, the gas field's output will be increased by 200 million cubic meters (mcm) per day to 500mcm, Owji added.

Russian company builds gas pipeline in Turkmenistan

The Russian Stroytransgaz company has completed operations in Turkmenistan to construct the Malay-Bagtyyarlyk gas pipeline and related facilities, including a crossing under the Amu Darya River as well as a gas metering station, the company said.

The Turkmen State Commission signed an acceptance covering a guarantee for all the operating facilities.

Turkmengaz State Concern is a customer and according to the contract, the design, equipment and materials were supplied and facilities constructed.

The Malay-Bagtyyarlyk section is part of the Central Asia-China gas pipeline with a total length of 7000 km, ensuring a supply of 30 billion cubic meters of natural gas from Turkmenistan to China through Kazakhstan and Uzbekistan.

The length of the line part of the gas pipeline is 185.4 km and the diameter - 1420 mm.
'This meant the project's implementation required the use of complex engineering solutions', the information said.

Stroytransgaz built a two-kilometre passage to lay a gas pipeline via the Amu Darya River. The engineers used a directional drilling method to allow the natural hydrological position, fish and fauna of the River Amu Darya to be maintained and retain the natural landscape of the surrounding area.

Some 160 promising oil and gas fields discovered in Turkmenistan

Over 160 promising oil and gas fields, 60 of which are currently being developed, have been discovered in Turkmenistan, the representatives of the national fuel and energy complex said at an investment forum in Ashgabat.

The event is organized by the State Chamber of Commerce in partnership with Summit Trade Events Ltd of the UK.

The event with the participation of business delegations from 25 countries and several international financial institutions, the Islamic Development Bank (IDB), the Japan Bank for International Cooperation, the Organization for Economic Cooperation and Development (OECD), the Economic Commission for Europe (ECE) is held in the Turkmen capital on October 17-19.

As noted, Turkmenistan ranks fourth in the world on the natural gas reserves. Its total geological reserves are estimated at 71.21 billion tons of standard fuel, with 53 billion tons of the resources and reserves of onshore fields, and 18.21 billion tons falling to the share of offshore fields.

According to the development program of oil and gas field, chemical and fishing industries of Turkmenistan for 2012-2016, the total amount of oil to be produced in the country within this period will be 55.9 million tons, the total amount of natural gas - 448.7 billion cubic meters. Implementation of these plans will require large investments in various sectors of the fuel and energy industry.