By OGJ editors
HOUSTON, June 26 -- Karachaganak Integrated Organization (KIO) said it will invest $3.5 billion in a project to develop Karachaganak gas condensate field in Kazakhstan, Russia's Interfax news agency reported. KIO—a joint venture of BG PLC 32.5%, Agip SPA 32.5%, ChevronTexaco Corp. 20%, and OAO Lukoil 15%—said it planned to raise liquid hydrocarbon production from the file to 7 million tonnes/year by constructing additional production and export capacities, a KIO press service source told Interfax.
During 1995-97, a total of $160 million was invested in the field from a number of sources, Interfax reported. During 1998-2003, construction is to include a gas processing plant, a 240 Mw power generation plant, and three high-pressure compressors. Later, KIO will build a 650 km export pipeline extending from Karachaganak to Atyrau, which will ultimately connect with the Caspian Pipeline Consortium system.
In 2001, gas production from Karachaganak field reached 3.75 billion cu m, with condensate production totaling 4 million tonnes, Interfax reported. This year, KIO plans to raise gas production to 4.7 billion cu m and condensate production to 5 million tonnes, Interfax said.
The field holds an estimated 2.25 billion bbl of recoverable oil and gas condensate reserves, according to the US Department of Energy's Energy Information Administration.
