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$36.8 Billion Tengiz oil field expansion in Kazakhstan gets financing go ahead

 

PROJECT NEWS

Wellhead Pressure Control Project engages western oil companies in development of massive oil field in Western Kazakhstan

Reported by Assylkhan Ziyash in Almaty

5 July 2016 – Astana, Kazakhstan – The Ministry of Energy of the Republic of Kazakhstan and “Tengizchevroil” LLP (TCO) have announced the final decision on the financing of the project and future expansion of Wellhead Pressure Control Project (WPCP), which will be the next step in the expansion of production capacity of the Tengiz field located in western Kazakhstan. Currently, the cost of (WPCP) is estimated at $36.8 billion USD together with the reserve for unforeseen expenses and increase. First oil production is scheduled for 2022.

160705-pmwj48-Ziyash-IMAGEThe Wellhead Pressure Control Project will use sour gas injection technology, successfully implemented in the previous projects, expanding the production capacity of TCO in 2008. Tengiz crude oil production capacity will increase approximately by 12 mln. tons per year or 260 thousand barrels per day, around 39 million tons per year or 850 thousand barrels per day. During the period of maximum productivity, it will exceed 900 thousand barrels per day.

Implementation of Wellhead Pressure Control will increase production volumes and ensure full utilization of the processing capacity of existing Tengiz plants by reducing the wellhead pressure flowing and increase pressure on the existing complex on six production lines.

LLP “Tengizchevroil” – is a Kazakhstani partnership engaged in the exploration, development, production and marketing of crude oil, LPG, dry gas and sulfur. TCO conducts its activities in accordance with the requirements of the safety standards and world-class environmental protection.

LLP “Tengizchevroil” was formed in April 1993 by the Government of the Republic of Kazakhstan and “Chevron” corporation. Currently, among the partners are: “Chevron” – 50% of shares, JSC “KazMunayGas” -20%, “ExxonMobil Kazakhstan Ventures Inc.”. – 25% and “LukArco” – 5%.

For more information, visit http://en.energo.gov.kz/index.php?id=6137