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Work to start on Tengiz field expansion

Tengizchevroil LLP expects to begin front-end engineering and design (FEED) this year on a 250,000-300,000 b/d expansion of crude oil production capacity at supergiant Tengiz field in Kazakhstan, reports 50% partner Chevron Corp.

Average Tengizchevroil production in 2010 was 567,000 b/d of crude oil, 822 MMcfd of natural gas, and 44,000 b/d of natural gas liquids, Chevron says.

The expansion will use sour gas injection technology applied in a project under way since 2008. The technology separates about a third of the sour gas contained in the crude and reinjects it at very high pressure into the Tengiz reservoir.

Tengizchevroil also has begun FEED on a wellhead pressure management project to support current operations.

The expansion, pressure management, and drilling program will cost $20-25 billion, according to early estimates.

Other Tengizchevroil partners are ExxonMobil Kazakhstan Ventures Inc. 25%, KazMunaiGas 20%, and LUKArco 5%.


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