OPERATIONS

WP wins Tengiz work

WORLEYPARSONS has won the plumb role to work with the Tengizchevroil Joint Venture to provide det...

WP wins Tengiz work

The Australian-firm will team up with global engineering and construction giant Fluor, the Kazakh Institute of Oil and Gas and local engineering company Kazgiproneftetrans to work on the Future Growth Project and Wellhead Pressure Management Project, which were approved by the Chevron Corporation-operated joint venture last week.

The joint venture, known as KPJV, is working as part of an integrated team with the Tengizchevroil JV on the expansion of the supergiant oil field in western Kazakhstan.

The front-end engineering and design and engineering, procurement and construction management activities phase of the mega project were awarded by Tengizchevroil to KPJV in 2011, just four years after the last expansion.

The FEED is complete and detailed engineering is well underway.

The project team is now engaged in long-lead procurement and early construction works for key project infrastructure at the Tengiz site.

The project is being executed by WorleyParsons and its joint venture partners in the UK, with support from its engineering centres in Atyrau and Almaty, Kazakhstan; New Delhi, India; Houston, USA and its integrated construction site in Tengiz.

No input is expected from WorleyParsons' Australian offices.

"We are pleased to continue our relationship with TCO and our joint venture partners in this prestigious and strategically important project. This further enhances our presence in Kazakhstan," WorleyParsons CEO Andrew Wood said.

"With the full participation of our Kazakhstan partners, JSC KING and EC KGNT, we will continue to promote the long term sustainable development of the local workforce and local supply chain in the region."

The Future Growth Project will use proven sour gas injection technology, successfully used during TCO's expansion project in 2007.

While the Future Growth Project will expand production, the Wellhead Pressure Management Project will keep the existing Tengiz plants full by lowering the flowing wellhead pressure and boosting the pressure to Tengiz's six processing trains.

During peak construction, the project is expected to employ 20,000 construction workers.

Project completion is scheduled for 2021 when first oil is expected to be achieved

In Tengizchevroil with Chevron (50% and operator), ExxonMobil (25%) are Russia's Lukoil (5%) and state-owned energy firm KazMunaiGas (20%).

The $US36.8 billion expansion will increase production from Tengiz from 800,000 barrels of oil equivalent per day to around 1MMboepd from 2022, adding crude supply equivalent to that of Libya.

Tengiz produced around 595,000boepd last year.

FGP-WPMP's costs include $27.1 billion for facilities, $3.5 billion for wells and $6.2 billion for contingency and escalation.

Tengiz has some 25 billion barrels of oil-in-place, with 6-9Bbbl recoverable.

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