Lukoil Overseas has produced first gas at the largest deposit in Uzbekistan and purchased additional stake in PSA by Uzbek part of Aral Sea

Lukoil Overseas in the framework of the PSA realization on the development of the gas reserves of the South-Western Gissar (the Kashkadariinsky region) has produced the first gas at the largest block of the deposit – the Dzharkuduk – Yangi Kyzylcha in Uzbekistan, the company’s press service reports.
Before the gas output at the South-Western Gissar the company had produced oil at the South Kyzylbairak and Koshkuduk deposits (by the preliminary data, in 2011 the production is to be 90 thousand tons).
The planned production at the Dzharkuduk at the initial stage will make up 1.1 bln cubic meter of natural gas a year. At the next stage Lukoil Overseas plans to launch the complex gas treatment unit at this deposit as well as put into operation the large Adamtash and Gumbulak deposits. The company plans to drill more than 40 production wells, construct the lines of external electric supply, a system of gas collection and processing, gas pipeline of saleable gas, condensate pipeline, settlement for shift-team workers, the field base and the objects of engineering infrastructure. The investment volume will be more than $1.2 bln, the planned gas production volume is 16 mln cubic meters a day (5.8 bln cubic meters a year).
The PSA by the project was signed in Jan 2007 for 36 months and came into force in April 2007. Lukoil Overseas joined the project in March 2008. The works at the contract territory are held by the operational company Lukoil Uzbekistan – the number of employees – 700, almost 90% of them are the citizens of Uzbekistan. The proved reserves of the block of deposits by Jan 1st 2011 are 40 bln cubic meters of gas and about 23 mln barrels of oil and condensate. In 2010 the 2D and 3D seismic exploration was over at the block; it has provided the growth of reserves, explored a few perspective structures and discovered 2 new deposits – the South-Eastern Kyzylbairak and Shamoltegmas.
Lukoil OOO approved the purchase by the affiliate Lukoil Overseas of the additional 6.6% stake in the PSA by the Uzbek part of the Aral Sea in the registered capital of Aral Sea Operating company – the operation company in this project, the press service of Lukoil Overseas reports.
The purchased stake in the PSA earlier belonged to the Malaysian oil and gas company Petronas Carigali Overseas that has quitted the project. So at the present time the stake of Lukoil in the Aral project is 26.6%.
Petronas has left the international consortium in May 2011 explaining it by the activation of works in other projects in Uzbekistan.
The PSA by Aral for 35 years was signed in August 2006 and came into force in Jan 2007. According to the conditions of the PSA, the participants of the consortium at the initial stage will hold 10% of the produced volume each, the minimum stake of Uzbekistan – 50%. The project is realized by the consortium of investors comprising the National holding company Uzbekneftegas, Lukoil Overseas, CNPC International (China) and KNOC Aral (Korea). The office of the operational company is in Tashkent.
The Aral license block of deposits is located in the North-West of Uzbekistan and comprises the Uzbek part of the water area of the Aral Sea and the bordering to its land and transit area. In the process of the project’s realization in 2007-2009 in difficult conditions of the absence of roads and infrastructure the seismic exploration of about 3 thousand long km was held and 6 perspective structures were discovered, 4 of which (Western Aral, Umid, Ak-Tepe and Shagala) have been issued passports and prepared for deep drilling. At the Western Aral structure in the spring of 2010 a gas deposit with the preliminary estimation of reserves of about 11 bln cubic meters was explored. The investment volume into the project is more than $110 mln.
In August 2011 the program of further works by the project that includes the drilling of the prospecting-and-appraisal wells with the minimum financing of $17 mln was approved.

 

 

 

http://rosinvest.com/novosti/894394
Translated by Galiya Musabekova

 

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