The world economic crisis put definite corrections into the development strategies of the domestic oil producing companies, however they didn’t loose interest in new oil fields and in the increment of their assets among which is continuation of development of perspective northern regions. Despite of difficulties in oil and gas exploration and severe environment, this region remains interesting and attractive for oil companies and it’s not by chance many of them including foreign ones try to get the right to exploit northern resources, particularly in the Nenets Autonomous Area.
From the point of view of production perspectives exactly this region was included into the strategic plan of JSC «Zarubezhneft». In the beginning of 2008 the company contested for the right to use natural resources for geological survey, exploration and production of hydrocarbons in the Central Khoreyver Uplift (CKU) blocks 1, 2, 3, 4 in the Nenets Autonomous Area, and in May of that year won the auction. These blocks contain 13 fields with C1 and C2-category reserves of 95 mm tons of oil.
JSC «Zarubezhneft» invited its old Vietnamese partner - Oil and Gas State Corporation «Petrovietnam» to participate in geologic exploration and production in CKU. On 7th of July, 2008 “Joint Company Rusvietpetro” was established and in autumn of 2008 in the Kremlin in presence of the President of Russian Federation Dmitry Medvedev and the president of SRV Nguyen Minh Triet, the heads of «Zarubezhneft» and «Petrovietnam» Nikolay Brunich and Tran Ngoc Khanh signed an agreement of entering of the Vietnamese partner into JC “Rusvietpetro”.
The company’s authorized capital comprises of RUB 5.465 milliard. Shares are distributed as follows: JSC «Zarubezhneft» owns 51% and «Petrovietnam» owns 49%.
The production program of JC “Rusvietpetro” for 2009 stipulates the volume of financing in amount of RUB 8.8 milliard. According to this program assets of JC “Rusvietpetro” will be aimed at exploration works and 22 wells re-entry in four CKU blocks having been bought out of owners. At the moment 10 of 22 wells are re-entered and till the end of the year there will be re-entered 4 more wells.
At the moment drilling at two well pads is in process on the North-Khosedayuskoe field. The drilling of the first well started in May of this year and it’s planned to be finished on 20th of August. The drilling of the second well at pad ¹2 began on 15th of June and it’s planned to be finished on 15th of September. Up to the end of this year 5 wells will be drilled at two multiple well platforms. A total of 24 wells are planned to be drilled during 2009-2010.
It’s worth saying that many contractors involved by “Rusvietpetro” are registered and operate in the Nenets Autonomous Area and the Komi Republic. And that means the appearance of new workplaces for the regional people and additional tax revenue into regional budgets.
And what is especially important for the region and its people all field facilities correspond to the strict ecological requirements. During the realization of the project JSC «Zarubezhneft», «Petrovietnam» and JC “Rusvietpetro” guarantee the maintenance of all environmental standards – an amount of RUB 8.7 milliard is aimed at environmental protection measures.
Since the start of operations ecological monitoring of the environment has been carried out. Complex measures concerning organization of safe operation, conservation of earth resources, reduction of man-induced impact on landscapes, prevention of negative impact on environment and also reconstruction of fault area are planned. For this reason agreements with ecological companies of Murmansk and Arkhangelsk were signed.
In October, 2010 “Rusvietpetro” plans to connect CKU fields to the Russian oil pipeline system. Up to the autumn of 2010 a 120 km oil pipeline will be finished and put into operation.
From the very beginning of the project realization it was established close cooperation with the Nenets Autonomous Area administration, which has been supporting «Zarubezhneft» and “Rusvietpetro”. To provide the production potential two subdivisions of “Rusvietpetro” were established –on the territory of the Nenets Autonomous Area (Naryan-Mar) and in the Komi Republic (Usinsk).
JSC «Zarubezhneft» and JC “Rusvietpetro” took definite responsibility for social-economic development of the Nenets Autonomous Area. During the negotiations with the Area administration specific objects and volumes of companies’ investments into social infrastructure of the Nenets Autonomous Area were defined and fixed. Important agreements in this field have already been signed. So it was signed an agreement with the NAA administration on investment by the oil companies of RUB 10 millions in the construction of a residential school in Khoreyver settlement and also RUB 2 millions were allocated for ecosystem maintaining to the deer farm “People’s Friendship” , on the territory of which there are objects of “Rusvietpetro”.
According to the forecast plan the first oil will be produced up to 20th of August of this year and up to the end of 2010 JC “Rusvietpetro” should achieve volume of oil production at 450 000 tons. In 2011 it’s planned to produce 2 million tons.
Together with a rise of oil production there will be raised an amount that is aimed at financing of socially significant objects of the Nenets Autonomous Area that, doubtless, plays an important role in the economic development of this removed northern region and improvement of living standard of its population. Now it’s high time for oil companies to realize and understand the importance of not only taking from but also giving to the North in return.
The material is prepared by the Press Service of JSC «Zarubezhneft»