Latest Oil and Gas News Russia

Russia and Slovenia in South Stream Pact
Russia and Slovenia have signed a pact on the South Stream pipeline, which will transport Russian gas to Europe.

Russia's Energy Minister Sergei Shmatko and Slovenian Economy Minister Matej Lahovnik on Saturday signed the deal ensuring Slovenia's participation in the project, Reuters reported.

The deal was signed in the presence of Russian prime minister Vladimir Putin and his Slovenian counterpart Borut Pahor.

Slovenia's approval brings the South Stream pipeline a step closer to being built, though its backers - Russian gas behemoth Gazprom and Italy's Eni - still have to raise billions of dollars to finance the project.

"We have now signed deals with all the European partners needed for this project to be completed," Putin told reporters at his Novo-Ogaryovo residency outside Moscow after signing the cooperation deal with Slovenian counterpart Borut Pahor.

Slovenia is the fifth country to sign such an agreement with Russia on the South Sea pipeline, which will skirt Ukraine and cross Bulgaria, Serbia, Hungary, Greece, Slovenia to Italy.

With a capacity of 63 billion cubic metres a year, the pipeline is expected to cost between 19 billion and 24 billion euros ($28 billion to $36 billion). It is due to become operational in 2015.

South Stream as mooted by Russia is racing against the European Union-backed Nabucco pipeline. The EU project seeks to curb dependency on Russia by pumping gas from the Caspian and the Middle East.


OSIsoft: Launches Official Presence in Russia
A ceremony at the Grand Marriott Moscow on Tuesday, September 29 marked the formal launch of an OSIsoft presence in Moscow and throughout Russia. OSIsoft has acquired a customer list comprising more than 60 Russian companies in many industries. These companies have successfully implemented more than 100 PI Systems.

"This well established user base is our main motivation to announce this evening that we will be opening an OSIsoft sales and support office in Moscow in 2010," Bernard Morneau, president of OSIsoft, told the gathered crowd of customers and partner companies, analysts, government officials and partners.

"We recognize we have a need to invest, learn and adapt to the Russian market in order to continue expanding these business relationships. We foresee a long and mutually beneficial presence in the Russian market."

Vladimir Raag, the local Business Manager in Russia, has responsibility for a formal office opening in 2010 while continuing to develop relationships with new and existing customers and partners.

US pushes for more Turkmen stakes
The US urged Turkmenistan to allow its companies to invest in onshore Turkmen gas deposits including South Iolotan, a giant field seen as a key future source of Caspian energy.

In the Turkmen capital Ashgabat to attend an annual energy conference, US Deputy Assistant Secretary of State George Krol told Reuters US companies were keen to develop Turkmen gas but were allowed only to invest in riskier offshore projects.

"American companies have advanced technology," Krol said in an interview.

"US companies would like to invest not only offshore but also in onshore projects including in South Iolotan." Central Asia, particularly Caspian deposits in Turkmenistan, has been at the centre of geopolitical rivalry involving the US, China and Russia since the region gained independence after decades of Soviet rule in the early 1990s.

CNPC, pushing aggressively into thinly populated Central Asia to feed its energy needs, won a licence to develop the onshore Bagtyyarlyk deposit two years ago.

South Iolotan, another lucrative onshore project, contains between 4 trillion cubic metres of gas and 14 Tcm, according to Britain's Gaffney, Cline and Associates, making it one of the world's five largest deposits.

It is seen as one of the new potential gas suppliers for the EU-backed Nabucco pipeline designed to ease Europe's dependence on Russian gas by connecting Caspian gas with Western markets.

Western companies, eyeing new energy sources in remote places in Turkmenistan as easier deposits become depleted, have urged Turkmenistan's new leadership to allow them to bid for projects like South Iolotan.

A number of smaller foreign companies are currently investing in costlier offshore Turkmen projects. Russia, which has so far controlled Turkmen gas exports through gas monopoly Gazprom, stopped imports altogether this year following an April pipeline explosion which has escalated into a diplomatic stand off over new supply terms.

That has forced Turkmenistan, its budget suffering due to the row, to seek closer ties with alternative buyers like Iran, China and the West.

Global oil and gas executives have flocked to Turkmenistan this week to attend the conference, an annual event used by foreign players to test the waters as they seek to convince Turkmenistan to open up to more investment.

Chevron in South Iolotan Talks
US oil supermajor Chevron is in talks with Turkmenistan over its possible participation in developing the giant South Iolotan gas field. Washington has urged the Caspian nation to allow US companies to invest in its lucrative onshore projects but Turkmenistan has so far admitted only China National Petroleum Corporation (CNPC).

Turkmenistan, an isolated country north of Iran, is at the heart of a geopolitical struggle between the US, Russia and China for access to its resources, notably its abundant gas.

South Iolotan contains between 4 trillion and 14 trillion cubic metres of gas, according to Britain's Gaffney, Cline & Associates, making it one of the world's five largest deposits.

Douglas Uchikura, head of Chevron Nebitgaz Turkmenistan, told Reuters on the sidelines of an annual energy conference that he was in talks with Turkmen officials on the project. "Yes, we are interested," he said. "We are making proposals and we are in discussions".

South Iolotan, another key onshore project, is seen as a potential gas supplier for the EU-backed Nabucco pipeline, designed to ease Europe's dependence on Russian gas by connecting Caspian gas with Western markets.

Putin warns Gas Flarers they'll get burnt
Russian oil companies will face "huge fines" should they fail to meet gas flaring targets requiring them to boost associated gas utilisation to 95% by 2012, Prime Minister Vladimir Putin said.

"Oil companies that do not meet this requirement will pay huge fines," Reuters quoted him as telling an industry meeting.

Eni ties up Kazakhstan deal
Italian oil and gas group Eni has signed a cooperation agreement with Kazakhstan's state oil company KazMunayGas on exploration and production activities in Kazakhstan. Under the agreement, Eni and KazMunayGas will jointly study the Isatay and Shagala exploration areas located in the Caspian Sea, said Eni.

The agreement also includes the optimisation of gas usage in Kazakhstan and a number of industrial initiatives including a gas sweetening plant, a gas turbine power plant, a drydock shipyard and the upgrading of the Pavlodar refinery. The agreement follows a preliminary Memorandum of Understanding signed in July 2009.

Eni said it expects to further strengthen its presence in Kazakhstan, where it is co-operator in the Karachaganak field and equity partner in the Kashagan field, reported Reuters.

Subsea UK Urges Companies to Capitalise on Opportunities in Russia
Subsea UK is driving a concerted effort to capitalise on the opportunities in Russia. The industry body believes the Russian market presents significant new business for UK companies but only if they act on it now before the window of opportunity closes.

"The UK has the capability and the expertise to support, finance and deliver major capital projects in upstream production, facilities or infrastructure and has a long track record in working with overseas partners in achieving success. We can help build Russian competency in the upstream sector," said Alistair Birnie, chief executive of Subsea UK who has just returned from a highly successful trade mission to Moscow and Murmansk in association with SDI and UKT&I.

"Scandinavian companies and Norway in particular have already made significant in-roads in establishing relationships at the highest level. Some Scottish and UK subsea companies are starting to do the same but we must ensure that we don’t leave it too late and lose out to our competitors."

"The UK subsea sector leads the way around the world and the Northern waters of Russia promise to be the next global energy frontier. The unrivalled experience and expertise of the UK's subsea supply chain could hold the key to unlocking the potential in the Russian Arctic shelf. Our industry and our Government need to demonstrate to Russian industry and Government that we can collaborate to overcome the technical challenges, lack of infrastructure and labour shortages."

During his visit to Murmansk, Birnie signed a Memorandum of Understanding (MoU) between Subsea UK and Murmanshelf, an organisation that helps businesses enter the oil and gas industry in the Murmansk region. The aim of the MoU is to develop relationships to facilitate UK participation in the region and ensure Uk companies are on the main contractors' sub-vendor list.

At the heart of the opportunities in this area is the giant Schtokman gas field. Located at a depth of over 300 metres and nearly 600 kilometres from the mainland, this field is estimated to hold about 1% of total global gas reserves. Investment in Schtokman alone is estimated at $50 billion with investment decisions scheduled for 2010.

Murmansk will play a critical role in the development of this field and become the centre of onshore production. The region has infrastructure developments totalling $8 billion planned which will transform this region of Russia. The Schtokman field, one of the largest developments in the world, has some unique challenges. As the first of a series of 24 field development in this region, the technologies and methods developed here will potentially be exploited to other parts of the arctic region, making it a hotspot for our member companies.

Subsea UK is a self-sustaining industry body that champions the UK subsea industry at home and abroad. With over 200 members, it represents the entire subsea supply chain in the country which employs 40,000 people and generates sales of 
Ј5 billion.

SPE and GKZ Agree to Map Russian Reserves and Resources Classification to SPE's Petroleum Resources Management System
Society of Petroleum Engineers (SPE) and the FGU State Commission on Mineral Reserves of Russia (GKZ) have entered into a Memorandum of Understanding to cooperate on programs to enhance the global understanding of petroleum reserves and resources.

Under this agreement, GKZ and SPE will form a joint work group to map the Russian reserves classification system to the SPE Petroleum Resources Management System during the 2010-2011 time frame. Neither system is expected to be changed as a direct result of the MOU, and any changes will be made at the sole discretion of the relevant organization. The alignment of the two classification and categorization systems will help to ensure greater consistency of petroleum reserves and resource estimates.

The two organizations also will work together to develop a workshop to be held in Moscow in 2010 on reserves estimation and classification to enhance the understanding of the technical issues related to reserves and resource assessments.

Labels: news, ROGTEC

posted by The Rogtec Team @ 11:25  0 Comments

Shell discusses further cooperation with Gazprom
Supermajor Shell will discuss further cooperation with Russian state-run Gazprom on energy projects in Russia's Far East, its was announced recently, reflecting industry hopes that lower oil prices will prompt countries with resources to offer better deals.

Anglo-Dutch Shell boss Jeroen van der Veer told Reuters in an interview the company would discuss more projects with the Russian gas giant after launching the $22 billion Sakhalin-2 liquefied natural gas project.

Van der Veer said the Russian Far East was within Shell and Gazprom's "area of mutual interests (AMI)".

"Based on the success (of Sakhalin-2), the partners will discuss with each other how we can give hands and feet to this AMI," the executive said.

SIIRTEC NIGI AWARDED THE GAS TREATING PLANT
Siirtec Nigi S.p.A. has announced that it has been awarded a contract by OAO Gazprom to implement the biggest silica gel plant in the world to be located at
the Portovaya Compression Station near the Russian town of Vyborg. Contract value is in the region of 400 million Euros. The contract is part of the ambitious Nord Stream Project which includes the 1,220 km gas pipeline that will carry natural gas from Russia to the European Union via the Baltic Sea. The award follows highly competitive international tender over several months.

The plant will dehydrate and control the hydrocarbon dew point of 170 million cubic meter per day (6 billion cubic feet per day) of natural gas to reach the stringent specifications required by the submarine pipeline. The plant, operating at 75 bar (1088 psi), will use high performance e silica gel manufactured by BASF.
Siirtec Nigi's scope of work includes the supply of technology, engineering and procurement of equipment and materials to be delivered in two phases (October 2010 and October 2011). In addition, the company will be responsible for erection supervision and start-up activities.


Kremlin unveils 126m barrel oil stash plan
Russia is working toward creating an oil and products reserve and could stockpile up to 16 million tonnes (126.4 million barrels) to take advantage of low oil prices, Deputy Prime Minister Igor Sechin recently told reporters today.

"We are getting ready for an Opec session, which will take place in March, and we are studying reserve options," Reuters quoted Sechin as saying.

He added low oil prices were prompting producers to think about reducing output.
"Such a reduction could reach up to 16 million tonnes, depending on market conditions. It is possible to study the possibility of buying this crude from the market," he said.

"You will agree that, at such prices, it is wise to talk about stockpiling options.

Slavneft ties up $100m loan
Russian gas giant Gazprom's banking arm Gazprombank has handed oil producer Slavneft a two-and-a-half-year $100 million loan to help it fund ongoing activities.
Slavneft is a joint venture between Gazprom Neft, Gazprom's oil arm, and TNK-BP, half-owned by UK supermajor BP.

Russia in Bolivia pipe talks
Russian gas giant Gazprom is in talks to build a system of pipelines in Bolivia, President Dmitry Medvedev said as the Kremlin launches a new push to boost its influence in South America.

Medvedev announced the plan after talks in the Kremlin with Bolivian President Evo Morales, whose visit to Moscow comes soon after similar trips by fellow leftist leaders Raul Castro of Cuba and Hugo Chavez of Venezuela.

"We spoke about Russia helping our friends in Bolivia with hydrocarbons and the construction of a gas transport system," Medvedev told Reuters after the meeting.
"A memorandum was signed with Gazprom, whose co-operation is moving into the practical sphere," he said, adding that work on the "strategic project" would run to 2030.

Medvedev said Russian efforts to boost ties with South America were not aimed at countering the US, traditionally the dominant power in the region.

Russia seals $25bn China cash for oil deal
China has agreed to lend Russian oil companies $25 billion in return for supplies from huge new East Siberian oilfields that will power its economy for the next two decades, a source close to the talks said today.

Russia's state oil champion Rosneft and pipeline monopoly Transneft signed a long-delayed deal to borrow the money from China Development Bank during talks in China, the source told Reuters. Rosneft and Transneft declined immediate comment.

Beijing has abundant cash that Moscow needs to access in the credit crunch as its government is running major deficits and some of its companies are finding it difficult to repay loans and borrow project finance on commercial markets.
The agreement, originally planned for the end of 2008, did not come easily and talks stalled in November last year over disagreements about interest rates and state guarantees China sought from the Russian government.

TNK-BP turns on Uvat taps
TNK-BP turned on the taps at the Urna and Ust-Tegus fields, in the Uvat area of West Siberia's Tyumen oil patch, and pledged to invest $500 million this year to increase output in a region where most other major deposits have been depleted.
TNK-BP plans to produce 1.5 million tonnes (11.8 million barrels) of oil from the Urna and Ust-Tegus fields this year.

Output will be ramped up to a peak of 9 million tonnes per year (71 million barrels) by 2020, officials said.

TNK-BP holds 15 licences in the region, with the Urna and Ust-Tegus fields lying in the eastern sector of the province. Crude from the two licence areas was fed into the 264-kilometre spur that links up with the national pipeline network run by Transneft . TNK-BP, has invested $925 million in the project to date, which it completed ahead of the original start-up date of 1 April.

The company last year launched another major project, the Verkhnechonskoye field in East Siberia.

EU united on Nord Stream and Nabucco
The European Union (EU) is united on the natural gas pipelines its members aim to build in a bid to diversify block's supply and import routes, Energy Commissioner Andris Piebalgs recently said.

Piebalgs spoke of unity after German Chancellor Angela Merkel asked the 27-member block to support a Nord Stream pipeline, which would bring Russian natural gas under the Baltic Sea directly to Germany. Czech Prime Minister Mirek Topolanek, whose country chairs the EU until June 30, said that Nord Stream, as a pipeline deepening the EU's reliance on Russian gas, was "a direct threat to the Nabucco project" that would skip Russia as a supplier.

Poland and the Baltic states have been the chief opponents of the Nord Stream pipeline, which bypasses them. Piebalgs said that while Poland would prefer other routes Warsaw was "not hostile" to the Russian-German line.

Gazprom plans to raise shelf oil and gas reserves by 2020
Russian gas export monopoly Gazprom said its hydrocarbon reserves on Russia's Arctic Shelf will increase by 5.6 bn tons of fuel equivalent between this year and 2020.

Gazprom said Russia currently had around 100 bn tons of fuel equivalent on the enormous shelf, which covers many time zones and is partly frozen. Around 80 % of these are gas.

"In 2005-2008, Gazprom's reserves on the Russian shelf grew by 1.5 bn tons of fuel equivalent as a result of geological exploration work," Gazprom said.
Last year, total hydrocarbon reserves held by Gazprom, the world's largest gas producer and supplier of a quarter of Europe's gas, rose by a record 10 % after the government granted it 10 major gas deposits and its oil reserves were boosted.

Sakhalin 3 Operator Selected After Prospecting
The operator of the Sakhalin-3 project will be determined as soon as geological prospecting is over, Deputy Prime Minister Igor Sechin reported. Asked about the chances of the two major rivals - Gazprom and Rosneft - Sechin noted that the most active bidder would win, adding that if the bulk of the project's reserve is gas, Gazprom would certainly be more willing than Rosneft. However, it is still too early to draw any conclusions, Sechin observed. He pointed out the difficult economic situation, which discouraged interest in large projects

New Energy Source Comes Onstream at Sakhalin II
President Dmitry Medvedev opened Russia's first liquefied natural gas (LNG) plant built by Sakhalin Energy Investment Company Limited (Sakhalin Energy).

The LNG plant is the heart of the Sakhalin II Project, one of the largest integrated oil and gas projects in the world.

The innovative and challenging Sakhalin II construction is near completion, and a new major energy source is now coming onstream. The infrastructure includes three offshore platforms, an onshore processing facility, 300 km of offshore pipelines and 1600 kms of onshore pipelines, an oil export facility and the LNG plant.


Rosneft Reviews 2008 Results and Approves 2009 Business Plan
According to the preliminary results, in 2008, Rosneft's oil and gas condensate production amounted to 110.1 mln tonnes, 9% more compared to the prior year. Organic production growth exceeded 4%, which is the best indicator among the Company's peers. This growth is primarily explained by further development of Rosneft’s extensive reserve base that was underpinned by increased production drilling at the Company’s core upstream enterprises. In 2008, Rosneft drilled 2,547 th. meters of production wells (up 6.3% compared to 2007) and commissioned 658 new wells. Marketable gas output totaled 11.2 bcm, an increase of 1% compared to 2007. Furthermore, Rosneft completed 58.7 th. meters of exploration wells, which enabled the Company to add 141 mln tonnes of oil and 36 bcm of gas of the Russian ABC1 category, thus fully replacing volumes produced in 2008.

Rosneft Approves 2009 Business Plan
At Rosneft's recent meeting, the Board of Directors also approved Rosneft's business plan for 2009 that envisages further growth in all operating indicators amid unfavorable macroeconomic environment.

In particular, in 2009, Rosneft plans to increase its oil and gas condensate output by 2% to 112.3 mln tonnes, primarily through accelerated production drilling (704 new wells) and the launch of the Vankor oil and gas field. Commissioning of a booster station at the Priobskoye field is expected to bring marketable gas production to 11.9 bcm, 5.8% more as compared to 2007.

To ensure continued reserve base expansion, in 2009, the amount of exploration work will be maintained at the 2008 level. Rosneft plans to complete 56.3 th. meters of exploration drilling, and to shoot 9.1 th. linear kilometers and 2.4 th. square kilometers of 2D and 3D seismic, respectively.

StatoilHydro Investing in Arctic Russia's Future
Russian and Norwegian dignitaries, students and journalists turned out last week for education grant awards and cooperation signing ceremonies between StatoilHydro and schools in Murmansk and Arkhangelsk.

"This is a very important occasion for north-west Russia and StatoilHydro. We're signing agreements to train local students for opportunities in the region's emerging oil and gas industry," said signatory Bengt-Lie Hansen, StatoilHydro president Russia.

Mutual benefit
"These programs are not only important for north-west Russia and the schools, but for StatoilHydro's efforts to be an Arctic champion!" said Mr Lie Hansen.

"A cooperation between people means that you believe in an idea. We believe in you and I hope you believe in us. Together, we can make a difference."

Aladdin Oil & Gas Reports Possible Oil Discovery in Orenburg
Aladdin Oil & Gas Company ASA has during the drilling of an exploration well (*101) revealed a petroleum system in a reef structure. A 6m column has been encountered with clear indications of hydrocarbons.

Aladdin Oil & Gas Company ASA acquired 3D seismic on the Bogdanovskaya license early last year, and during the interpretation a possible reef structure was identified. The company decided that it wanted to drill this structure, and a well was spudded on it 24th December 2008. The well is planned to be drilled to 950m, and the top of the reef was expected around 650m depth.


The well will be drilled to the planned TD of 950m, and is currently at 698m depth. The company hopes to find further hydrocarbons as the drilling proceeds.
Analysis of the electric logs will decide what intervals can be tested, before any commerciality of the discovery can be considered.


CALEDUS BUCKS ECONOMIC DOWNTURN WITH FORECAST FOR MAJOR GROWTH
Caledus, the Aberdeen headquartered well construction technology oil and gas service sector business, has unveiled plans for significant global expansion with forecasts of 250 employees worldwide and turnover of £50 million by 2012.

A three-year vision, agreed by the company's senior management team at a meeting in Aberdeen recently, will see Caledus reach its anticipated expansion through organic growth, strategic acquisitions and alliances, incorporating new product lines where appropriate to enhance the business.

This year Caledus predicts revenue will grow from £8million to £14million with an increase in jobs globally from 43 to 65. Staff will increase at the company's key strategic bases in Aberdeen (6), Perth Australia (3), Dubai (3) and Houston (3) while a new office will be opened in Kuala Lumpur in March and additional staff will be employed in Norway and Angola.

Labels: Gazprom, news, oil gas, Rosneft, Russia, Sakhalin, Shell, Slavneft, TNK BP, Uvat

posted by The Rogtec Team @ 12:38  0 Comments

Russia expects gas output at 700 bn cm in 2009
Russia's gas output is expected to reach 700 bn cm next year, up 3.2 % from an expected 678 bn cm this year, the Russian energy ministry said in a draft document. Last year Russia produced a total of 654 bn cm. According to the ministry's draft General Scheme for Gas Industry Development to 2030, in 2010 Russian gas output is forecast to reach 717 bn cm. The figure is a little higher than the recent outlook by the economic development ministry, which targeted output of 715 bn cm in 2010.

Over the next two years, some 85% of total output will continue to come from the traditional gas provinces in West Siberia. Production from East Siberia and the Russian Far East is expected to account for 16.7 bn cm in 2009 and 22.7 bn cm in 2010, up from 11.8 bn cm in 2007.

Russia is expected to add 783 bn cm of gas reserves in 2008, 686 bn cm in 2009 and 841 bn cm in 2010, the energy ministry's document said. Last year 684 bn cm of new reserves were added.

Turkmen cut 2008 gas output target
Turkmenistan, will cut gas output to 50 billion cubic meters this year from last year's 72.3 Bcm, Oil and Gas Minister Annaguly Deryaev announced.

The government had previously said Turkmenistan would produce 81.5 Bcm this year, but the country halted supplies to neighboring Iran in the first quarter amid a pricing row which led to a cut in output. Turkmenistan and Iran are due to sign a new supply agreement this month.

Turkmenistan sells most of its gas to Russia's Gazprom, but seeks to develop new fields and diversify exports. Deryaev also said Turkmen oil output would be 10 million tones this year, the same as last year.

DOCKWISE concludes USD 84m VYBORG / Shtokman Contract
Following the letter of intent announced in June 2008, Dockwise Ltd. announces that through its subsidiary Dockwise Shipping B.V., it has been contracted by Vyborg Shipyard to transport two topside structures from Korea to the Barents Sea and to install the units on semi-submersible hulls, using the float-over technique. Dockwise will receive USD 84m over the three-year contract, with the revenue contributing immediately to fourth quarter 2008 cash flows.

Vyborg Shipyard was commissioned by Gazflot (the operating arm of Gazprom) to construct two platforms designed for operation in the arctic conditions of the giant new Shtokman field, 600km offshore Murmansk. The first topside structure is scheduled to be loaded end April 2010 for installation between July and August 2010; the second at end October 2010 for installation around February 2011. The structures will be transported from Geoje Island, Korea, to the assembly locations in the Murmansk harbour area. Each topside is estimated to weigh around 22,000 tons.

Gazprom makes Yamal LNG partner list
Russia's Gazprom is considering US giants ExxonMobil and ConocoPhillips for its liquefied natural gas project in Russia's Arctic Yamal region, its deputy chairman said today.

"The list (of possible participants) is currently being made, but we do not exclude majors such as ExxonMobil and Conoco from joining the project," quoted Alexander Medvedev.

He also said Gazprom could work in gas projects in Alaska with Conoco in exchange for the US major gaining access to the Yuzhno Tambeisky deposits in Arctic Yamal. - "But nothing concrete has been decided yet."

Gazprom Neft weighs up MMG swap
The Khanty-Mansi Autonomous Region Government and Salym Petroleum Development N.V. (SPD) signed the Cooperation Agreement for 2009-2013 in Khanty-Mansiysk. The Governor of Yugra Alexander Filipenko and SPD CEO Harry Brekelmans signed the Agreement. This document will replace the current three-year agreement that expires by this year end.

New agreement covers extension of mutually beneficial cooperation aimed to further development of the autonomous region's industrial and scientific potential, application of the world high technologies in hydrocarbons exploration, oil production and processing, associated petroleum gas use and advanced environmental technologies.

Russia to build new pipeline
Russian gas giant Gazprom announced that it would build a pipeline directly to Georgia's rebel region of South Ossetia because of problems with natural gas supplies to the enclave after the recent war with Georgia. Gazprom said the new pipeline was needed because the current pipeline goes through the territory of Georgia proper.

Kupriyanov said the pipeline had been damaged and added that supplies were complicated by the fact that Gazprom had no direct transit agreement with Georgia for gas supplies through its territory to South Ossetia, said a Reuters note.

Rosneft to spend billions on Arctic fleet
Russian state-owned oil major Rosneft says it by year 2030 will need to construct 193 oil exploration and production units as well as vessels in order to meet the objectives of its shelf development programme.

The oil company, the biggest in Russia, intends to acquire 31 offshore licenses, among them on the northern shelf. For the development of the fields, the company will need 22 stationary platforms and ten mobile drilling rigs.

"Nord Stream on track for 2011 startup"
The Baltic Sea gas pipeline project, Nord Stream, is on track to deliver first gas in the fourth quarter of 2011 as it previously promised,

"We're absolutely on track to deliver the project on time and we are in budget," financial director Paul Corcoran said to Reuters.

His comments came as a relief to those supporting the 7.4 billion euros ($9.34 billion) project, which Russian President Vladimir Putin said recently that it could be scrapped if Europe continues to delay the project. The EU has identified the plan to pump 55 billion cubic meters of Russian gas annually to Europe via Germany - involving Russia's Gazprom, Germany's E.ON and BASF and Dutch Gasunie - as a key project to ensure secure gas supplies for Europe. But EU lawmakers have called for a new investigation into the Nord Stream's environmental impact.

Vantage Drilling Company Selects AMOS from SpeTec
Vantage Drilling, a company organized under the laws of the Cayman Islands, has chosen both the AMOS Business Suite for Maintenance and Purchasing and the AMOS2 Enterprise Suite for Quality Management throughout its fleet.

Vantage is dedicated to building and operating offshore rigs including technologically advanced dynamically-positioned Drillships and ultra-premium Baker Marine Pacific Class Jack-ups. Its first rig "The Emerald Driller" is scheduled for completion before Christmas 2008 at the PPL Shipyard in Singapore and is subject to a two-year drilling contract.

Brodospas also chooses AMOS
SpecTec (branch office in Croatia), has signed an Agreement for the delivery of AMOS Business Suite to Brodospas p.l.c., Split based shipping company. Software license includes Maintenance and Purchase as well as Quality and Safety modules.

New initiatives for developing Kazakhstan's oil and gas resources announced at KIOGE
The KIOGE Exhibition & Conference, Kazakhstan's leading oil and gas event, took place on 7-10 October in Almaty, Kazakhstan.

ITE's Oil & Gas Director, Graeme Coombes, explains the significance of the event in Kazakhstan, "Over 16 years, KIOGE has developed a reputation for being a source of the most up-to-date information about the oil and gas industry. Major new initiatives are regularly announced at the event and this year was no exception". This year, the two-day conference attracted a record number of delegates - 1,285.

A number of new initiatives and projects were announced during the KIOGE Conference. Kazakhstan's Minister of Energy and Mineral Resources, Mr. Sauat Mynbayev, revealed that a Memorandum of Understanding has been signed between KazMunayGas National Company (Kazakhstan), ConocoPhillips (US) and Mubadala Development (UAE), agreeing the terms for exploring and developing the N Block on the Caspian shelf. In addition, he announced that Kazakhstan is planning operations to develop the Satpayev and Darkhan shelf blocks.

Finally, Mr. Kiinov announced that a major issue for the industry has been resolved - from 1 January 2009, the price for gas exported through Russia will be determined according to the price in Europe minus GazProm's tariff and margin.

BP to restart last Azeri platform
A BP-led group will resume production in late December at the last Azeri offshore platform that remains shut after a gas leak in September, Azeri state energy company Socar said.

BP in September suspended oil production at two platforms, Western and Central Azeri, of the giant Caspian Sea deposit, Azeri-Chirag-Gyuneshli (ACG), due to a gas leak. It resumed work at Western Azeri in October.

"We will resume oil production at Central Azeri in the end of December," Socar chief Rovnag Abdullayev told reporters. ACG is the main source of oil for the BP-operated Baku-Ceyhan pipeline, which runs from the fields in the Azeri sector of the Caspian Sea to the Turkish Mediterranean coast.

Russia-China talks to pick up
Russia will resume talks with China over $25 billion in loans as part of a broader deal with Beijing over crude supplies within days, Russian Energy Minister Sergei Shmatko recently announced. The loans are of a crucial importance for Russian oil firms, which need cash to refinance their heavy debts and fund growth at a time of plunging oil prices. China is discussing lending Russian state oil major Rosneft and pipeline monopoly Transneft up to $25 billion in loans while Beijing would secure deliveries of Russian crude for 20 years.

Chinese Premier Wen Jiabao visited Moscow in October when the two countries agreed to jointly build a new overland supply route for Siberian oil to carry 300,000 barrels per day between the countries' trunk pipelines from 2009.

Gazprom not interested in Repsol
Russian energy giant Gazprom said it is not interested in buying 20% of Spanish energy company Repsol.

"Gazprom had and has no plans to buy 20% of Repsol," Sergei Kupriyanov, the Moscow-based company's spokesman recently stated. Gazprom supplies about a quarter of Europe's gas and has said it wants to expand into marketing and distribution, as well as liquefied natural gas.

Miller in under-investment warning
The world will face a shortage of oil supplies sooner than expected because companies already under-invest in production said Alexei Miller, chief executive of Russian gas monopoly.

"Oil companies are beginning to under-invest in production due to the financial crisis. I think it means that a supply shortage will come much earlier," he said. Gazprom controls Russia's fifth-largest oil producer, Gazprom Neft.

Daily Production Reaches 140,000 bopd at Salym oilfields
The total daily production from the Salym oil fields in Western Siberia, developed by Salym Petroleum Development N.V. (SPD), has reached 140,000 bopd (over 19,200 tone per day). SPD CEO Harry Brekelmans, commenting on the announcement, said: "Since October 2007, when SPD reached a 100,000 bopd milestone, we have continued increasing production volume in a systematic way by putting on stream new wells and optimizing production processes. Over this period, our daily production went up 1.4 times, which took us to the current benchmark of 140,000 bopd. We have produced over 37 million barrels (over 5 million tones) of oil year-to-date, which is more than 20% increase on our total oil production last year. SPD is steadily moving forward to its goal of becoming one of the best operating companies in Siberia."

Lukoil consider reducing 2009 spend
Russia's second biggest oil producer Lukoil could halve its 2009 capital spending programme to $4 billion if the global oil price falls below $45, chief executive Vagit Alekperov announced recently. Alekperov said that if Lukoil had to reduce the programme, the cut will mostly be applied to its refining projects and the company was not going to delay the launch of new deposits in west Siberia and the Caspian Sea.

"We have worked out three scenarios with oil price of $80, $65 and $45 per barrel," Reuters quoted Alekperov as telling reporters. "At $80 per barrel we will have investment programme of $8 billion, at the next scenario the programme will be less by $2 billion and at $45 the figure will be $4 billion."

TMK lines up ONGC pipe deal
TMK, Russia's largest producer of steel pipes for the energy sector, has said it had signed a deal to supply pipes to India's Oil and Natural Gas Corporation (ONGC).

Under the deal, TMK will supply ONGC with around 20,000 tones of seamless casing pipe over the next two years, Reuters quoted the company as saying in a statement. The pipes will be produced at the company's Volzhsky mill. TMK did not disclose the value of the deal. Yesterday, the company also said it had won a tender to supply pipes to Turkmenistan's national gas company.

Formation of CLYDEUNION – A Global Pumping Leader
Clyde Blowers, the East Kilbride--based group owned by Scottish entrepreneur Jim McColl, had reached agreement to purchase Textron's Fluid & Power Division. As a result of this transaction the former Textron company Union Pump, headquartered in Battle Creek, Michigan, will integrate with Clyde Pumps, the company formed by Jim McColl following the highly-publicised purchase in May 2007 from Weir Group of iconic company Weir Pumps based in Glasgow, Scotland.

These two leading pump companies have been re-branded as CLYDEUNION and its combined workforce of over 1400 will provide a comprehensive range of engineered centrifugal and reciprocating pumps as well as aftermarket parts and service from their global manufacturing facilities and joint venture companies in India and China.

Labels: Gazprom, Gazprom Neft, Lukoil, news, oil gas, Rosneft, Russia, Shtokman, TNK BP

posted by The Rogtec Team @ 15:19  0 Comments