Mar. 11, 2005
search in

Contact us
Log in Registration

Italy's ERG and Shell to Develop LNG Terminal
Construction of the 8 bcm capacity LNG regasification terminal in Sicily is scheduled to begin in 2007 and be operational in 2010.

02.03.2005, 18:56

Roxar, TNK-BP Sign Deal
TNK-BP buys Roxar reservoir management and production optimization software for engineering R&D.;

02.03.2005, 18:45

ChevronTexaco Announces First Condensate
ChevronTexaco Corp. has announced first condensate production from the Sanha Field in Angola.

02.03.2005, 18:33

ExxonMobil Sells Sinopec Stake
ExxonMobil has completed the sale of its 3.7 percent stake in China Petroleum and Chemical Corporation(Sinopec.)

02.03.2005, 18:25

BJ Services Wins Cementing Contract
Marathon Petrolum Company has contracted with BJ Services for cementing services for a number of its wells offshore Norway.

02.03.2005, 18:19
2 March 2005 BJ Services

News archive

How does your company rate the attractiveness of the Russian market?

Not so hot!



People on the Move & Companies in the News

->TNK-BP has announced three new appointments to its senior management ranks. Yevgeny Romanov has joined TNK-BP as the head auditor. His background includes senior financial and general management positions in the energy industry, and significant audit experiences as a senior manager in KPMG.

Tom Wright , has succeeded Dave Cook as executive vice president for Planning and Performance Management. Wright has held senior BP roles in Commercial Assurance, Finance, and Planning and Performance Management.
->Dmitry Manakov has joined TNK-BP as chief of staff. He has worked for the past eight years with McKinsey & Company consulting group where he has gathered extensive experience in Russian and international projects across a number of major industries. As Robert Dudley commented: “These are three important roles in our company. They each contribute strongly to our drive to improve management information systems and internal processes. The appointments we have made also reflect our commitment to run TNK-BP with a strong and diverse Russian and international management team, aligned in our vision for sustainable future success.”

->ExxonMobil Corporation announced that it is anticipated that the company’s board of directors will make the following elections and appointments to be effective Dec. 1, 2004, Steve Simon 61, currently president of ExxonMobil Refining & Supply Company, Fairfax, Va., will be elected a senior vice president of the corporation. In his new position, Simon will move to the company’s worldwide headquarters in Irving, Texas. Simon’s responsibilities will be announced by the end of the year.

Simon holds a bachelor of science degree in civil engineering from Duke University and an MBA from Northwestern University. He joined Exxon Company, U.S.A. in July 1967 and shortly thereafter began a two-year assignment in the United States Army. He returned to Exxon U.S.A. in July 1969 as a business analyst in the Baton Rouge Refinery.

Before the merger of Exxon and Mobil, Simon was executive vice president of Exxon Company, International, headquartered in Florham Park, N.J. Effective Dec. 1, 1999, Simon was appointed president of ExxonMobil Refining & Supply Company and vice president of Exxon Mobil Corporation.

Steve Pryor, 54, currently deputy to the president, ExxonMobil Refining & Supply Company, Fairfax, Va., will be appointed president, ExxonMobil Refining & Supply Company, and will be elected a vice president of the corporation.
->Sergei Bogdanchikov has been appointed general director of Gazpromneft. The decision to create the new company has been signed by Gazprom Chairman Alexei Miller. Gazpromneft’s headquarters will be in St. Petersburg. On Nov. 29, Gazprom’s board of directors approved the creation of a new, wholly-owned subsidiary, Gazpromneft, within the framework of the second stage of Gazprom’s reform, which strives to consolidate the company’s chief businesses in separate legal entities. At present, the Russian government owns 38.3 percent of Gazprom’s stock. In 2004, the new ñompany plans to produce a combined 34 mln t of oil, including Gazprom’s 11.8 mln t.
Nikolai Melnik has been elected the new general director of Sayanskkhimplast. The vote was taken at the Nov. 10 meeting of the board of directors in Moscow. Melnik took over the job from Viktor Kruglov who had been elected speaker of the regional parliament. Before this appointment, Melnik was director at Alfa-bank in Angarsk. Melnik was nominated for the post by Renova.

->In the first 10 months of the year, Gazprom increased natural gas export by 11.8 percent over the same period last year – exports climbed to 127.24 bcm from 113.81 bcm delivered in January-October last year.

Gas supplies to foreign markets beyond the former Soviet Union increased by 8.2 percent and totaled 122.12 bcm (in the same period last year they reached 112.82 bcm). Gazprom’s trading arm, Gazexport, delivered 87.26 bcm of gas to Western Europe, posting a 15.4-percent increase over the same period in 2003 when exports totaled 75.64 bcm. In a country-by-country breakdown in Western Europe, deliveries to Austria totaled 4.86 bcm (vs. 4.97 bcm in 2003), to Germany 33.64 bcm (vs. 28.22 bcm in 2003), to Italy 17.76 bcm (vs. 15.67 bcm in 2003), to France 11.42 bcm (vs. 8.79 bcm), to Turkey 11.13 bcm (vs. 10.03 bcm in 2003), to Finland – 4.02 bcm (vs. 4.13 bcm in 2003). The Netherlands imported 2.34 bcm (against 2 bcm last year), Switzerland bought 0.27 bcm (against 0.24 bcm in 2003), and Greece bought 1.76 bcm (against 1.59 bcm last year).

Additionally, Gazprom started shipping gas to the United Kingdom, delivering 60 mcm in the first 10 months of the year. All of these deliveries were actually made in October as Gazexport’s report lists no deliveries in the January-September span.

In 2005, Gazprom targets to produce 547 bcm of natural gas, posting an annual production increase of 0.9 percent.

->LUKOIL vice president Leonid Fedun and Eurasia Drilling Co. (EDC) chief financial officer Martin Hansen signed a sale and purchase agreement in regard to LUKOIL’s 100-percent stake in the charter capital of LUKOIL-Burenie LLC. The transaction is subject to customary closing conditions and the receipt of required consents and approvals and is expected to close before the end of this year.

The transaction value is $130 mln including EDC’s assumption of over $60 mln of LUKOIL-Burenie’s debt. EDC will invest a minimum of $75 mln toward the upgrade of the production capacity of the target company.

EDC will also provide drilling services to the LUKOIL Group in the amount of at least 6.5 mln m over a five-year period.

“Successful completion of this transaction is yet another stage of the company’s program to reduce production costs and optimize its portfolio,” Fedun said. “We are determined to actively promote the company’s restructuring process by divestiture of non-core assets. In addition, we expect that the new owners of the drilling company, with their vast oil industry service expertise, will increase the efficiency of the drilling operations.”

->LUKOIL Overseas starts exploration drilling on the North-East Geisum offshore block in Egypt in accordance with the schedule of the exploration program.

The contractor is a well-known Egyptian drilling company EDC, which owns the world-class Senusret jack-up drilling rig. The contractor was selected as a result of tender and consultations with Egyptian partners and government authorities.
The work will be carried out for two months at the sea depth of 35 m. The target well depth is 1,820 m. Approximate cost of work will be about $6 mln.

->The sale of the arrested stock of Yuganskneftegaz will be held on Dec. 19, 2004, an official seller’s notice, published in The Rossiyskaya Gazeta daily, said.

The sale will take place in the form of an auction, with an open list of participants and an open bidding procedure. The stock will be sold by a single lot. The seller, Russia’s Federal Property Fund, will start receiving applications for the bid on Nov. 19, 2004. The deadline for the submission of applications expires on Dec. 18, 2004. The auction will be held on Dec. 19, 2004, at 4 P.M. Moscow time at 9 Leninsky prospect, Moscow.

Forty-three ñommon shares, constituting 76.79 percent of Yuganskneftegaz’s charter capital are being sold. The owner (debtor) of the stock is YUKOS Oil Co. The nominal value of a share is 177,889.80 rubles ($6,242). The starting price of the bid is set at 246,753,447,303.18 rubles ($8.7 bln).

->Since the start of the year, Tyumenneftegaz (making part of TNK-BP) has produced 1 mln t of oil in the fields of the Tyumen Region’s south (Uvat project).

Crude output in the Kalchinskoje and North Demyanskoje fields came to 948,000 t over 10 months of 2004, a growth by 206,726 t year-over-year. In October, the output amounted to 114,300 t (vs. 71,398 t in October 2003).

The bulk of output, 893,863 t, is accounted for by the Kalchinskoje field that has been developed since 1991. Since the start of 2004, average yield of oil wells stood at 31 t (vs. 22.5 t in 2003), including 36.2 t in October (vs. 21.9 t in October 2003).

Since the start of 2004, the average of 0.8 t of oil per day has been produced from two pilot wells of the North Demyanskoje field; to compare, production amounted to 0.1 t per day the last October and 0.9 t per day since the start of 2003.

Increased output in the Uvat fields is due to drilling and commissioning of new producing wells. In January/October, the total of 7 wells were drilled in the Kalchinskoje field, including 6 operating wells, of which 1 operating well and 1 exploratory well were built in October. Three operating wells were drilled and commissioned in the south of the region a year ago.

Yields of new producing wells averaged at 43.1 tpd in October against 29 tpd in October 2003 and 54 t of oil per day since the start of the year (29.9 tpd in 2003); production from new wells stood at 6,850 tpd and 21,854 tpd of oil, respectively. In 2003, 2,469 t of oil and 13,879 t of oil were extracted from new wells in October and from the start of the year, respectively.

Increase in oil well yields was triggered by successful implementation of the geological and technical work program (GTWP). Since the start of the year, 258,388 t of oil, including 48,259 t in October, was additionally produced due to implementation of the program. Over the 10 months, operations of 31 oil wells (58,399 t) were refined, and bottomhole areas (10,892 t) at nine wells were processed. Eleven wells were refined, bottomhole areas of four wells were processed, and seven operations of hydrofracturing of formation were performed in the Uvat fields over the same period of 2003.

The bulk of additional production was accounted for by hydrofracturing of formation (HFF) this year. In October, one hydrofracturing of formation with repairs and insulation work and eight large-scale HFF operations were performed in the Kalchinskoje field, due to which output grew by 4,710 tons, and, taking into account earlier performed operations, by 31,682 t.

The total of 38 HFF operations has been performed since the start of the year, which resulted in output increase by 167,244 t. By the year end, Tyumenneftegaz is going to
produce additionally over 180,000 t of oil in the Uvat fields.

->In January-October, Surgutneftegaz increased oil production by 10 percent over the same period last year, reaching 49.12 mln t. Gas production in the same period totaled 11.8 bcm or 3.4 percent more than in the first 10 months in 2003. The company processed around 3.4 bcm of gas. In January-October this year, Surgutneftegaz drilling units drilled more than 2.56 mln m, including 181,800 m drilled under exploration drilling campaigns. The company brought on stream 744 new wells. The above production figures didn’t take into account results posted at the Talakanskoje field.

->Sibneft [photo] has received a $160 mln syndicated loan with an interest rate of 1.4 percent over the London interbank offered rate (Libor), the lowest-cost financing in the company s history. The export-backed loan carries a term of 25 months. ABN Amro Bank led the syndication for the deal.

Sibneft received the first $75 mln tranche of the loan in June of this year, with ABN Amro and Vitol SA participating. The remaining tranche of $85 mln was received on Nov. 4, with new participants including Bayerische Landesbank, Commerzbank (Eurasija) Sao, Hsh Nordbank Ag, Landesbank Rheinland-Pfalz Girozentrale, Norddeutsche Landesbank Luxembourg S.A. and WestLB AG.

Sibneft will use the funds for debt refinancing and working capital. The company expects its year-end debt level to be similar to last year, in the range of $1.5-1.6 bln.

->Krioplast, a joint venture between Krior and Sayanskkhimplast, will carry out the project to build a hel-
ium-producing plant in Sayansk that will use the Kovykta field gas as a raw material. At their Nov. 19 founding meeting, the shareholders decided to build facilities in Sayansk to separate, purify, liquefy and store helium concentrate. The plant’s production capacity would be around 7 mcm of hel-ium per year. According to preliminary estimates, the first stage of construction will cost $35 mln.

Krior general director Vadim Udut said that the plant will market each year between $8 and $15 mln worth of production, “depending on the [market] situation.”

The first stage envisages processing of between 2.5 and 3 bcm of the Kovykta gas per year. The launch of the plant is scheduled for the first half of the year in 2007. It should repay investment over 6.5 years. The major bulk of produce is intended for export markets in the Asia-Pacific region.

Krior is Europe’s major helium producer, controlling 17 percent to 20 percent of the market share. Krior also supplies liquid and gaseous helium to more than 200 companies in Russia. Sayanskkhimplast is a major PVC producer in Russia, where it controls over 40 percent of the national PVC market.

->The state-owned Sevmash shipyard, based in Severodvinsk, Arkhangelsk region, has signed a contract with Norway’s ODFJELL company to build several large-capacity tankers for shipping chemicals and petrochemical products. The details of the agreement have not been disclosed, however, it is known that the contract envisages construction of eight to twelve carriers with water displacement of 45,000 t, 183 m long, 43 m high, 32 m wide, sailing at a speed of 16 knots per hour. First deliveries to the client are expected in 2007.

->Italy’s Saipem service company has been awarded a contract worth $520 mln to build and install a subsea pipeline system at the Kashagan field in Kazakhstan’s sector of the Caspian Sea. According to the contract, installation is scheduled in 2006-2007.
Oil and gas pipelines are required to deliver hydrocarbons from the field to the Karabatan gas processing plant which has the annual capacity of 5 bcm per year. The plant will also produce up to 900,000 t of sulfur per year.

->Exxon Neftegas Limited (ENL), the Sakhalin-I project operator, held a ceremony of welding of the first joint of the pipeline between Sakhalin Island and the Russian mainland.
Critical to the Sakhalin-I project, the 225-kilometer pipeline will transport crude from Chayvo field to the west coast of Sakhalin Island and via the Tatar Strait to DeKastri terminal in the Khabarovsk province. The pipeline’s designed capacity is approximately 12 mln t of oil per year.

Nippon Steel Corporation and its Russian affiliate NS Nephtegazstroy Limited, as well as two Russian companies – LUKOIL-Neftegazstroi and SMU-4 – are involved in the construction of the pipeline, which is scheduled for completion at the end of 2005. More than 80 percent of the pipe is supplied by the Russian Vyksa Steel Works.

->Sakhalin Energy Investment Company Ltd. (Sakhalin Energy) has awarded contracts to two Japanese-Russian ship owning consortiums for the long-term time charter of three new-built LNG ships.

A contract for two ships went to a consortium consisting of Nippon Yusen Kabushiki Kaisha (NYK) and JSC Sovkomflot, whilst a second Japanese-Russian consortium consisting of Mitsui O.S.K. lines, Ltd. (MOL), Kawasaki Kisen Kaisha, Ltd. (K Line) and Primorskoye Shipping Corporation, was awarded a contract for one LNG ship.

The NYK Line/Sovkomflot consortium will have their two 147,200 cu. m LNG ships constructed at Mitsubishi Heavy Industries with delivery scheduled for the 4th Qtr in 2007. The MOL/K Line/Primorskoye consortium will have their similar-sized ship constructed by Mitsui Engineering & Shipbuilding for delivery by the 2nd Qtr in 2008.

Under the conditions of the contracts, the three ships will have ice strengthening and will be designed to operate at low temperatures to allow them to make deliveries from Sakhalin Energy’s LNG plant at Prigorodnoye in Sakhalin’s south all year round.

->Investment into Russia’s fuel industry in January-September 2004 totaled $7.055 bln, Rosstat reports. Of this figure, direct investment accounted for $2.438 bln, portfolio investors spent $2 mln, others invested $4.615 bln. Luxembourg heads the list of investor countries with $3.503 bln (49.7 percent of the total volume) invested in the mentioned period, the Netherlands – $2.337 bln (33.1 percent), Cyprus – $456 mln (6.5 percent), Switzerland – $237 mln (3.4 percent), France – $200 mln (2.8 percent).
->Russia’s oil and gas condensate output in January-October totaled 381 mln t, posting a 9.4-percent increase over the same period in 2003, Rosstat reported. Oil refining volumes in this period rose by 1.9 percent up to 161 mln t. Gasoline production rose by 3.1 percent and totaled 24.9 mln t, diesel fuel output posted a 1.7-percent growth, reaching 45.3 mln t. Fuel oil production fell by 3.1 percent and totaled 43.6 mln t.

Natural gas production in the same period rose by 2.4 percent, hitting 519 bcm. Manufacturing in the fuel industry in January-October increased by 7.5 percent over the same period last year.

print version send to friend write comment contents

Êàòàëîã íåôòåãàçîâîãî îáîðóäîâàíèÿ

about us subscription advertisement events contacts sitemap upwards
(c) Eurasia Press, Inc. (USA) 2004 Usage of any materials is allowed only with written permission of editorial staff.
Developed by "Architectural Politics" design bureau. Maintained by