Sakhalin II awards Yokogawa upstream measurement, control facilities contract

March 13, 2004
Sakhalin Energy Investment Co. Ltd.—a consortium of Royal Dutch/Shell Group, Mitsui & Co. Ltd., and Mitsubishi Corp.—and Sumitomo Corp. have awarded contracts to Yokogawa Electric Corp., Tokyo, to supply the complete upstream measurement and control instrumentation for the Sakhalin II crude oil and natural gas development project in the Sakhalin Island region of Russia's Far East.

By OGJ editors

HOUSTON, Mar. 12 -- Sakhalin Energy Investment Co. Ltd.—a consortium of Royal Dutch/Shell Group, Mitsui & Co. Ltd., and Mitsubishi Corp.—and Sumitomo Corp. have awarded contracts to Yokogawa Electric Corp., Tokyo, to supply the complete upstream measurement and control instrumentation for the Sakhalin II crude oil and natural gas development project in the Sakhalin Island region of Russia's Far East. These follow earlier contracts for the project's downstream measurement and control facilities.

Under the latest contracts, Yokogawa will deliver control, monitoring, and safety systems, a plant asset management package, and other systems for two offshore platforms, onshore production facilities, and the project's associated pipelines.

The $10 billion energy development project, led by Sakhalin Energy, will facilitate year-round crude oil and natural gas production in northern Sakhalin Island.

Pipelines will deliver crude oil from northern production areas to an oil export facility in southern Sakhalin where it will be shipped to utility customers. Natural gas pipelines will deliver gas to a liquefaction plant having two liquefaction trains with a combined production capacity of 9.6 million tonnes/year. It is scheduled to begin operation in 2007.

Yokogawa said it would set up a local support base on Sakhalin Island for training, commissioning, and maintenance work.