PROBLEMS PLAGUE SOVIET CASPIAN OPERATIONS

Jan. 22, 1990
An abundance of problems has forced increasing reliance on foreign firms to bring order out of admitted chaos in the Soviet Union's oil operations in the Caspian Sea. The problems include a rash of costly accidents, pervasive technological shortcomings, and inability to obtain spare parts and equipment from domestic suppliers. Despite Moscow's critical shortage of hard currencies, the U.S.S.R. has turned to the U.S., Finland, Japan, West Germany, and eastern European nations for help in

An abundance of problems has forced increasing reliance on foreign firms to bring order out of admitted chaos in the Soviet Union's oil operations in the Caspian Sea.

The problems include a rash of costly accidents, pervasive technological shortcomings, and inability to obtain spare parts and equipment from domestic suppliers.

Despite Moscow's critical shortage of hard currencies, the U.S.S.R. has turned to the U.S., Finland, Japan, West Germany, and eastern European nations for help in construction, maintenance, and repair in existing Caspian Sea fields.

Imported equipment also will be essential if the Soviets are to succeed in their effort to speed development of large oil reserves found but not yet developed in deep Caspian waters.

Repairs to a platform gutted by fire last spring and a crude oil pipeline that ruptured last October are top priorities for the Soviets' Caspian oil and gas industry during early 1990. The platform and pipeline are in 28th of April field, which accounts for more than half of Caspian crude and condensate flow.

Last year's accidents prevented the Soviets from achieving their oil production goals in the Caspian, still the source of all the U.S.S.R.'s offshore crude oil production and more than 90% of the nation's offshore gas.

If full production can be restored to all wells on the fire damaged platform, if the broken pipeline can be permanently repaired as planned early this year, and if no major new accidents occur, Caspian 1990 oil production could exceed 220,000 b/d. That would be the highest level in 15 years but still less than 1970's record Caspian crude and condensate flow of 258,000 b/d.

U.S. CONTRACTOR'S ROLE

The Soviet Union has hired a U.S. firm to permanently repair the broken 530 mm (20.87 in.) pipeline carrying 28th of April crude to a gathering site in fading Neftianye Kamni (Oil Rocks) field. From there, the oil moves farther west to Azerbaijan's Apsheron Peninsula.

The pipeline repair work, to be carried out in 282 ft of water, will be supervised by personnel from Gripper Inc., Houston, under an agreement with the U.S.S.R.'s Caspian Offshore Oil and Gas Industry Association (Kaspmorneftegazprom).

Gripper airfreighted about 12 tons of equipment to the Caspian Sea port of Baku for the project, and the firm's representatives will direct the work of Soviet divers making the repairs.

Soviet officials recently described laying and operating underwater pipelines as "the most vulnerable aspect" of their Caspian Sea oil and gas industry.

Gripper had hoped to repair the pipeline break in 28th of April field last December, but severe storms forced postponement.

Plans now call for the work to be done late this month. Gripper expects to complete the job, including repair of 15 ft of pipe and a cracked field joint, in 4-5 working days if the weather is favorable.

Gripper officials report excellent cooperation from the Soviets on the pipeline repair contract and are likely to bid on future Caspian Sea work if it becomes available. The Houston firm also is exploring the possibility of building an offshore equipment manufacturing plant in the Baku area under a joint venture agreement with the U.S.S.R.

Gripper offers a family of subsea pipeline installation, repair, and tap products including mechanically sealed connectors, metal seated couplings, pipe length compensators, grip and seal hot taps, structural and nonstructural clamps, and a new dual acting hydraulic bolt tensioning system.

Opportunities for a joint venture to manufacture subsea equipment for use in the Caspian are promising.

DEEPWATER LIMITATIONS

Because of difficulties the Soviets encountered in laying and repairing pipelines and installing platforms in comparatively shallow water, they have been unable to develop fields lying in more than 400 ft of water. That means reserves in some sectors of 28th of April field can't be tapped.

In addition, the Soviets have discovered three highly prospective but still undeveloped oil fields in deep water along the Apsheron Sill only a short distance east of 28th of April field.

The U.S.S.R. says it hopes to be able to develop Caspian fields in 200-300 m (656-984 ft) of water during the 1990s.

Soviet reports say the Finnish built Israfil Guseinov pipelay vessel, based at Baku, is to be ready for work assignment in the Caspian this year.

It will be capable of laying pipe in water depths substantially greater than the aging Suleiman Vezirov vessel, which laid the new line to 28th of April field.

Another Finnish built vessel, Skat, "designed for underwater technical and diving work," arrived at Baku last November.

It will enable Soviet divers to perform subsea welding and metal cutting in water depths to 300 m.

PRODUCTION DISRUPTED

Baku reports say the latest Caspian pipeline break occurred last Oct. 20 and disrupted flow from all wells on 28th of April field's No. 4 platform. Production from some wells on nearby No. 6 and No. 11 platforms was reduced.

28th of April field is slated to provide all of the Caspian's increased oil flow during the present Soviet 5 year economic plan (1986-90). However, the fire that gutted 28th of April's No. 2 platform last May and June stopped flow from 12 wells that had been producing more than 18,250 b/d of oil (OGJ, June 19, 1989, p. 27; July 10, p. 28).

The platform fire again cut total Caspian Sea oil production to less than 200,000 b/d. Failure to restore flow from six of No. 2 platform's 12 wells on schedule kept 1989 Caspian crude and condensate production below plan through November. The pipeline rupture shattered all hopes the Soviets had that either 28th of April field or the Caspian Sea as a whole could achieve production goals last year.

The October pipeline break cut production from 28th of April field by more than 6,500 b/d. Soviet divers were able to place a temporary low pressure patch on the line last fall, but throughput was limited to no more than 50% of capacity.

THE PROBLEM IS...

In discussing the latest in a series of subsea Caspian pipeline ruptures, Kaspmorneftegazprom Deputy General Director N. Aliev declared, "The problem is that we have ventured into deep waters without having the required engineering preparation. Most likely, the joint, which was welded onshore, was damaged while the pipeline was being laid on the sea bottom.

"This operation was carried out with the help of a pipelaying barge designed to work at considerably shallower depths. The pipeline assemblers, if they had possessed the equipment to inspect the welded joints under water, would undoubtedly have noticed the damage."

Underwater pipelines now serve about 300 production platforms in the Caspian Sea. But, according to the Baku newspaper Vyshka, not one of those lines is properly controlled.

"Field personnel do not have the instruments required for steady subsea pipeline operation," Vyshka reported. "As yet we do not even have the paperwork for designing, construction, and operation of deep underwater trunk pipelines."

Vyshka noted that the pipeline that ruptured in 28th of April field in October had been laid only 15 days before and had just been placed in operation. A month earlier it had passed all onshore tests.

The newspaper added, "Specialists now believe the cause of the break in the welded joint was poor quality work."

A similar accident occurred in 28th of April during late 1986, when a 10 month old line ruptured. Repairs were completed after long delay, and first quarter 1987 Caspian oil flow was greatly cut.

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