ACG partners approve $6-billion platform

Partners in the Azeri-Chirag-Deepwater Gunashli (ACG) complex in the Caspian Sea offshore Azerbaijan have approved the investment of $6-billion in a new platform able to process as much as 100,000 b/d of oil.

Apr 19th, 2019

Partners in the Azeri-Chirag-Deepwater Gunashli (ACG) complex in the Caspian Sea offshore Azerbaijan have approved the investment of $6-billion in a new platform able to process as much as 100,000 b/d of oil.

BP, operator of the ACG production-sharing agreement, said production from the Azeri Central East (ACE) platform will start in 2023 and total up to 300 million bbl over its lifetime (OGJ Online, Jan. 16, 2018).

The 48-slot production, drilling, and production platform will be installed in 140 m of water midway between the existing Central Azeri and East Azeri platforms. New infield pipelines will connect the facility to ACG Phase 2 oil and gas pipelines that carry production to the Sangachal Terminal.

The project also includes installation of a water-injection pipeline between the East Azeri and ACE platforms to supply water from the Central Azeri compression and water-injection platform.

Average ACG production last year was 584,000 b/d of oil and about 6.4 million cu m/day of associated gas, according to BP.

Oil production, by platform, was Chirag, 46,000 b/d; Central Azeri, 154,000 b/d; West Azeri, 126,000 b/d; East Azeri, 97,000 b/d; Deepwater Gunashli, 105,000 b/d; and West Chirag, 57,000 b/d.

Sanction of the ACE platform is the first major investment decision by the ACG partners since extension in 2017 of the production-sharing agreement to 2049 (OGJ Online, Sept. 14, 2017).

BP holds a 30.37% interest in the agreement. Other interests are State Oil Co. of the Azerbaijan Republic/AzACG, 25%; Chevron, 9.57%; INPEX, 9.31%; Equinor, 7.27%; ExxonMobil, 6.79%; Turkish Petroleum, 5.73%; Itochu, 3.65%; and ONGC Videsh Ltd., 2.31%.

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