Chevron Corporation has announced that its 50% owned affiliate, Tengizchevroil (TCO), will proceed with the development of its Future Growth and Wellhead Pressure Management Project (FGP-WPMP), which will increase crude oil production at the Tengiz oilfield in Kazakhstan by about 260 000 bpd.
"The Future Growth and Wellhead Pressure Management Project represents an excellent opportunity for the company," said Chevron Chairman and Chief Executive Officer John Watson. "The project builds on a record of strong performance at Tengiz and will add value for Chevron and its stockholders."
"This project builds on the successes of prior expansions at Tengiz and is ready to move forward," said Jay Johnson, Executive Vice President, Upstream, Chevron Corporation. "It has undergone extensive engineering and construction planning reviews and is well timed to take advantage of lower costs of oil industry goods and services."
FGP-WPMP is currently estimated to cost US$36.8 billion, which includes US$27.1 billion for facilities, US$3.5 billion for wells and US$6.2 billion for contingency and escalation.
The project will raise TCO’s total production to approximately 1 million bpd. WPMP maximises the value of existing TCO facilities by extending the production plateau and keeping existing plants producing at full capacity. FGP will use state of the art sour gas injection technology, successfully developed and proven during TCO’s previous expansion in 2008, to enhance oil recovery. First oil is planned for 2022.
Adapted from press release by Francesca Brindle
Read the article online at: https://www.oilfieldtechnology.com/drilling-and-production/06072016/chevron-approves-tengiz-expansion-project-kazakhstan-3649/