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USA still welcomes the idea on construction of a Transcaspian gas pipeline
The Unites States of America keep welcoming the idea regarding construction of a Transcaspian pipeline to export Turkmen gas to Turkey along the Caspian bed, via the territory of Azerbaijan and Georgia, stated US State Department special envoy for the Caspian energy resources, Steven Mann, at the 18 October “Oil and gas of Turkmenistan” exhibition-conference (TIOGE-2001).
According to the diplomat, the USA is loyal to the promise to help Turkmenistan in realization of this project and act for diversification of Caspian oil and gas export routes to international markets. Besides, noted Steven Mann, after the economic crisis, Turkey will more often act as a transit country than consumer of Turkmen gas. In addition, as Azerbaijan intends to realize the project on Baku-Tbilisi-Erzerum pipeline construction in order to export gas to Turkey from the Shah-Deniz deposit. Turkmenistan will have to work hard with private companies so that to involved them in their project, underlined Mann.
During the lobby interviews with journalists, Steven Mann stated that the USA welcomed the project laying a Transcaspian gas pipeline from Turkmenia via Azerbaijan and Georgia to Turkey. This subject will become major during his meeting with president of Turkmenistan Saparmurat Niyazov.
Steven Mann marked the huge potential of Turkmenistan in the sphere of hydrocarbon production and export. He stressed the readiness of America “to assist Ashgabad to develop alternative options for gas transportation”.
4000 metres drilled at the first appraisal well
The works on drilling the first appraisal well in the Nakhchivan promising structure are carried out in conformity with the schedule.
Media Press has learnt in SOCAR that the Caspian Drilling Azerbaijani-American Company, the general drilling subcontractor of the project, had drilled over a half of the project depth mark - 4000 metres. The drilling started in August from the Istiglal floating semi-submersible drilling rig. The project depth of the well is 6 444 m.
The contract area is 280 sq. km. SOCAR and ExxonMobil have equal shares in the project. Investments to the deposit development are estimated at $2 mlrd. Reserves expected are 110 mln tones of oil and 85 mlrd cu m of gas.
Joint and operating companies operate successfully in Azerbaijan
Karasu Operating Company (KOC) has increased its daily extraction of oil by 150 tones at the offshore Mishovdag-Kelametdin contract area. As Media Press has learn in SOCAR, at the block the company produces 550 tones of oil per day.
According to the KOC’s order, the Crosco Croatian Company keeps drilling the third exploitation well in the Mishovdag field. The project depth of the well is 2400 metres.
According to one of the State Oil Company leaders, “this is good that the KOC has increased oil production. However, these volumes do not correspond to the figures fixed in their minimal program of compulsory works”. For the next year, he said, Karasu Operating Company develops a more aggressive program.
Until 2003, KOC has planned to invest $178 mln to the project. There are 790 wells (200 of them are oil) in the Mishovdag field, and 190 - at Kelametdin. The contract term of validity is 25 years with possible prolongation of 5 more years.
Regarding other join and operating companies’ activity in Azerbaijan, stated the SOCAR representative, all of them, excluding British Ramco at the Muradhanly field, realize successful oil and gas operations. In particular, this joint company is the third oil trader in the country after SOCAR and Caspian Trans Co).
“Very good economic indices has Salyan Oil Operating Company operating at the field of Kursangy-Garabaghly. They regularly increase oil production and, in general, they have a very serious program for the future”,- underlined the SOCAR representative. Approximately, 200 tones of oil per day are extracted today on the contract area. This year the operating company intends to develop 3 exploratory wells in the block, next year - 3 more.
Caspian oil pipeline launch postponed "indefinitely" - Kazakh TV
The ceremonial launch of the CPC [Caspian Pipeline Consortium] pipeline, which was expected to be attended by the leaders of Kazakhstan [Nursultan Nazarbayev] and Russia [Vladimir Putin], has been postponed indefinitely.
The reason is that Russia wants to raise customs duties on the transit of Kazakh oil via its territory. In its turn, Kazakhstan demands that Russia guarantee to cover [Kazakhstan's] losses because of mixing [Kazakh] Tengiz light oil with Russian heavier oil [in the pipeline].
According to the CPC office in [the western Kazakh town of] Atyrau, a total of 960,000 t of oil have been pumped into the pipeline since it was launched. The oil is continuing to be pumped into the pipeline, though slowly.
However, in a few days, the pipeline may get overfilled and the pumping of oil may be stopped.
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