Editors Notes: ROGTEC Magazine Issue 9

Firstly, we are all very pleased to be able to announce that ROGTEC Magazine has formed a unique partnership with ROSING, Russia´s pre-eminent oil and gas engineers association.

The partnership ensures that all the engineers at ROSING will receive a copy of ROGTEC Magazine, and indeed will use it as a medium to share technology know how across this exciting market. Its seems fitting that the industries leading paper resource and the markets largest, and most important industry association have joined forces for the benefit of the industry and we are very proud to be associated with them. For more information on the partnership, please visit www.rosing.ru/, or turn to page 42 for more information.

As always, we have seen a number of interesting developments in this exciting market. Exxon Neftegas Limited (ENL), a subsidiary of Exxon Mobil, has completed drilling of the Z-11 well, the longest measured depth extended-reach drilling (ERD) well in the world. Located on Sakhalin Island offshore Eastern Russia, the record-setting Z-11 achieved a total measured depth of 37,016 feet (11,282 meters) or over seven miles. Elsewhere on the Sakhalin Development, Shell have agreed to pay an annual dividend to the Russian government, which will be in line with the price of oil. Some insiders say the total could reach up to 1$ billion per year. Having conceded control of the project to Gazprom recently, it is clear that the state is flexing its muscles and stating its intent for the future.

In a move that looks to have secured Russia´s dominance in the race to secure the flow of central Asian gas, the leaders of Russia, Turkmenistan and Kazakhstan have agreed to build a new natural gas pipeline around the Caspian Sea. This is an interesting move, and indeed looks to have scuppered the rival US-backed trans-Caspian pipeline that was to bypass Russia. The deal also included assurances that the soviet era infrastructure system will be upgraded. Although the official line is that the US backed scheme is still “in the pipeline”, it seems that the Russians have won this particular race. With Nursultan Nazarbayev, Kazakhstan ´s president, also assuring his counterpart Vladimir Putin that he is keen on the majority of Kazakh oil flowing through Russia, it is sure to heighten tensions between the US and Russia. Indeed, at the time of going to press, US energy secretary Sam Bodman was quoted as saying that this deal is “not good for Europe” and that European leaders should “adjust their views accordingly”. The story continues.

One thing is for sure; the Russian and central Asian oil and gas market is continuing to boom and we are proud to be a part of it. We have a busy exhibition schedule ahead of us this summer, so please come and see us at the Caspian oil and gas exhibition, MIOGE, or offshore Europe over the next few months.

As always, I welcome your comments.