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Wednesday, 05 July 2017 10:00

Shah Deniz 2 well on track Featured

Shah Deniz 2 well on track

Following the successful sail-away of the Shah Deniz 2 Quarters and Utilities (QU) platform topsides on the STB-1 transportation barge, the topsides unit arrived in its location on 2 July, Caspian Energy News ( reports with reference to the press statement of BP.

On 3 July, the float-over operations started with the STB-1 moving slowly into the jacket slot. The float-over operation was completed with full load transfer onto the jacket.

It stands to mention that during the first quarter of 2017, implementation of the Shah Deniz Stage 2 project continued successfully. The project is now over 92% complete in terms of engineering, procurement and construction, and remains on target for first gas from Shah Deniz Stage 2 in 2018, BP reported earlier.

A significant milestone was achieved in the project with the sail away of the jacket for the second of the Shah Deniz Stage 2 platforms.

The Sangachal terminal is progressing well with its expansion plans in order to be able to process the additional gas volumes.

The total output from the Shah Deniz field as of early June in 2006-2017 was 83 billion cubic meters of gas and 21 million tonnes of condensate.

The daily output from 6 wells at the Shah Deniz field is 30 million cubic meters of gas and 7,000 tonnes of condensate. Over the entire period since the beginning of gas exports from the Shah Deniz field in 2007, 6.3 billion cubic meters of gas have been delivered to Georgia, and 46.5 billion cubic meters to Turkey.

The daily export of Shah Deniz gas to Georgia comprises 2.3 million cubic meters and 18.5 million cubic meters of gas per day go to Turkey. The Shah Deniz contract was signed in Baku on June 4, 1996 and ratified by the Milli Majlis on October 17 of the same year. The participating interests in the Shah Deniz project are: BP (operator, 28.8%), Petronas (15.5%), SOCAR (16.7%), LUKOIL (10%), NICO (10%) and TPAO (19%). Gas production at the field was launched in December 2006.

In 2016, the export of Azerbaijani gas within the Shah Deniz Stage 1 scope comprised 7 billion 145.1 million cubic meters.

At present, gas production from the Shah Deniz field is carried out within the Stage 1 scope.

In the framework of Stage 1 gas contracts were concluded between Turkey, Azerbaijan and Georgia. The 690 km South Caucasus Pipeline (442 km in Azerbaijan and 248 km in Georgia) was built to enable export of Azerbaijani gas to Turkey.

TANAP construction is divided into four different stages. The Southern Gas Corridor is currently under construction to increase the project’s capacity, which is to be brought up to 16 bcm (10 bcm for Europe and 6 bcm for Turkey) in 2020, up to 23 bcm in 2023, up to 31 bcm in 2026. The component parts of the Southern Gas Corridor project are TANAP and TAP gas pipelines and the expansion of the existing capacity of the gas pipeline. The TANAP gas pipeline will transport Azerbaijani gas to the western borders of Turkey. The throughput capacity of the new gas pipeline for transit of Azerbaijani gas via Turkey is expected to comprise at least 16 bcm.

The first gas sales to Georgia and Turkey within Stage 2 scope are scheduled for the end of 2018, the first deliveries of Azerbaijani gas to Europe will begin in 2020. The TAP shareholders are: BP (20%), SOCAR (20%), Snam S.p.A. (20%), Fluxys (19%), Enagás (16%) and Axpo (5%).

Person in charge of the newsline: Fidan Isayeva 


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