Lukoil starts development on Uzbek block

By OGJ editors
HOUSTON, July 10 -- Lukoil Overseas has started development drilling in the Khauzak contract area of Dengizkul gas field in southwestern Uzbekistan.

Khauzak is the first field to be developed under the Kandym-Khauzak-Shady-Kungrad production-sharing agreement (PSA) signed in midyear 2004 by a group of investors including Lukoil Overseas (90%) and Uzbekneftegaz (10%) (OGJ Online, Nov. 29, 2004). The consortium's share in profit production is 50%.

Original gas in place in the contract area is estimated at 329 billion cu m (bcm). Commercial production is expected to start in fourth-quarter 2007. Peak gas production will exceed 10 bcm/year, while cumulative production could reach 207 bcm of gas, Lukoil said.

Lukoil formed Lukoil Uzbekistan Operating to oversee project management and will create a marketing company for joint sales of production.

To date, work on the block includes a 3D seismic survey, well design, construction of power lines and an access road, and preparation for the workover of three wells.

China's TUHA is the drilling contractor. The partners plan to drill 37 development wells on the Khauzak contract area.

The Kandym-Khauzak-Shady-Kungrad project involves drilling of more than 180 development wells and construction of more than 1,500 km of pipeline. Also to be built: two compressor stations, gathering points, shift camps, high-voltage power lines, a 40-km railway line, motor roads, and access roads.

The project also involves construction of an 8 bcm/year capacity gas processing plant in the Kandym area.

To date, total investment under the PSA is about $100 million.

Related Articles

ExxonMobil begins Bass Strait drilling campaign

12/18/2014 The ExxonMobil Corp.-operated joint venture with BHP Billiton Ltd. and Santos Ltd. has begun a $335 million (Aus.) offshore drilling campaign in Ba...

Rumaila to ramp up production 50% by end of decade

12/17/2014 The Rumaila Operating Organization (ROO)—a partnership of South Oil Co., BP PLC, PetroChina Co. Ltd., and Iraq’s State Oil Marketing Organization (...

Senate passes Defense bill with BLM drilling permit program provision

12/15/2014 The US Senate approved a Department of Defense appropriations bill on Dec. 13 containing a provision extending and making permanent a drilling perm...

BHI: US rig count forced down by large losses in Texas

12/12/2014 Forced down by large losses in Texas and specifically the Permian basin, the US drilling rig count plummeted 27 units to settle at 1,893 rigs worki...

TAEP: TPI still peaking, but ‘contraction unavoidable’ as oil prices fall

12/12/2014 The Texas Petro Index (TPI), a composite index based on a comprehensive group of upstream economic indicators released by the Texas Alliance of Ene...

Independent assessment hikes Husky heavy oil resources

12/12/2014 Husky Energy Inc., Calgary, says an independent assessment increases its heavy oil resources in the Lloydminster region of Alberta and Saskatchewan.

ConocoPhillips slashes 2015 capital budget

12/08/2014 ConocoPhillips has elected to reduce its 2015 capital budget to $13.5 billion, down 20% compared with this year’s budget. The news comes on the hee...

BHI: Kansas, Granite Wash lead week of modest changes in US rig count

12/05/2014 The US drilling rig count opened the month by adding 3 units to reach 1,920 rigs working during the week ended Dec. 5, Baker Hughes Inc. reported. ...

Statoil extends rig suspensions

12/05/2014 Statoil ASA has elected to extend the suspensions of the COSL Pioneer, Scarabeo 5, and Songa Trym drilling rigs for additional 7.5, 1.5, and 1-mont...

White Papers

AVEVA NET Accesses and Manages the Digital Asset

Global demand for new process plants, power plants and infrastructure is increasing steadily with the ...
Sponsored by

AVEVA’s Approach for the Digital Asset

To meet the requirements for leaner project execution and more efficient operations while transferring...
Sponsored by

Diversification - the technology aspects

In tough times, businesses seek to diversify into adjacent markets or to apply their skills and resour...
Sponsored by

Engineering & Design for Lean Construction

Modern marketing rhetoric claims that, in order to cut out expensive costs and reduce risks during the...
Sponsored by

Object Lessons - Why control of engineering design at the object level is essential for efficient project execution

Whatever the task, there is usually only one way to do it right and many more to do it wrong. In the c...
Sponsored by

Plant Design for Lean Construction - at your fingertips

One area which can provide improvements to the adoption of Lean principles is the application of mobil...
Sponsored by

How to Keep Your Mud System Vibrator Hose from Getting Hammered to Death

To prevent the vibrating hoses on your oilfield mud circulation systems from failing, you must examine...
Sponsored by

Duty of Care

Good corporate social responsibility means implementing effective workplace health and safety measures...
Sponsored by

Available Webcasts


On Demand

Optimizing your asset management practices to mitigate the effects of a down market

Thu, Dec 11, 2014

The oil and gas market is in constant flux, and as the price of BOE (Barrel of Oil Equivalent) goes down it is increasingly important to optimize your asset management strategy to stay afloat.  Attend this webinar to learn how developing a solid asset management plan can help your company mitigate costs in any market.

register:WEBCAST


Parylene Conformal Coatings for the Oil & Gas Industry

Thu, Nov 20, 2014

In this concise 30-minute webinar, participants have an opportunity to learn more about how Parylene coatings are applied, their features, and the value they add to devices and components.

register:WEBCAST


Utilizing Predictive Analytics to Optimize Productivity in Oil & Gas Operations

Tue, Nov 18, 2014

Join IBM on Tuesday, November 18 @ 1pm CST to explore how Predictive Analytics can help your organization maximize productivity, operational performance & associated processes to drive enterprise wide productivity and profitability.

register:WEBCAST


US HYDROCARBON EXPORTS Part 3 — LNG

Fri, Nov 14, 2014

US LNG Exports, the third in a trilogy of webcasts focusing on the broad topic of US Hydrocarbon Exports.

A discussion of the problems and potential for the export of US-produced liquefied natural gas.

These and other topics will be discussed, with the latest thoughts on U.S. LNG export policy.

register:WEBCAST


Careers at TOTAL

Careers at TOTAL - Videos

More than 600 job openings are now online, watch videos and learn more!

 

Click Here to Watch

Other Oil & Gas Industry Jobs

Search More Job Listings >>
Stay Connected