By OGJ editors
HOUSTON, May 16 -- OAO Gazprom increased its natural gas production in the first 4 months of 2008, the Russian company announced earlier this week. Between January and April, Gazprom produced 199.4 billion cu m (bcm) of gas (about 7 tcf), 4.2 bcm more than for the same period in 2007.
The increase comes despite a relatively mild winter 2007-08, in which the company has yet to see a peak in demand from its customers. This situation contrasts with that of several years ago, said the company.
Mild weather
Gazprom spokesman Sergei Kupriyanov said that in winter 2005-06, "when temperatures were abnormally low and the demand for natural gas sharply grew in Russia and Europe," Gazprom's gas production exceeded 1.7 bcm/day, reaching 620–630 bcm/year.
In 2007, he said, falling demand due to the mild weather temporarily depressed Gazprom's production. Had demand remained at 2007 levels, the company "would have been able to ensure that sufficient gas was produced to meet the demand."
Current forecasts call for Gazprom's production to hit about 570 bcm for 2010, growing to 610-615 bcm/year by 2015 and 650-670 bcm/year by 2020. By that time, new fields will account for nearly a half of all gas produced.
Reserves
Kupriyanov said growth of the company's gas reserves has considerably surpassed its production for the third year running. "According to preliminary estimates, in 2007 our success in exploration led to an increase in discovered reserves" to 585 [bcm], while production was 548.5 [bcm].
In 2006, he said, exploration increased reserves by 590.9 bcm, while production totaled 556 bcm. In 2005, the figures were 583.4 bcm and 555 bcm, respectively. "The trend continues and we are ready to face future challenges."
Gazprom's strategy, said the announcement, is that by 2010, three new gas production centers will be operating: Arctic shelf, Yamal Peninsula, and East Siberia-Far East. "These are expected to develop into major production hubs over time," it said.
In the near future, Shtokman and Bovanenkovo, two unique fields in the Arctic shelf and Yamal, will be put into operation.
