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FSUOGM PROJECTS & COMPANIES FSUOGM

Lukoil drills new wildcat in

Russian Caspian

RUSSIA RUSSIA’S biggest private oil producer Lukoil has Lukoil added in its statement that it was drill-
begun drilling a new exploration well in the Cas- ing a sixth well at its platform at Korchagin that
Lukoil is counting on pian Sea, as it looks to build up its already sizea- is anticipated to flow 348 tonnes (2,550 bpd) of
the Caspian to deliver ble resource base in the region. oil at full capacity.
production growth. The wildcat was sunk at the Shirotno-Rak- Operating in Caspian can be challenging, due
ushechnaya prospect in Russian waters some to logistical issues, difficult climate conditions
4.5 metres deep north of Lukoil’s Grayfer oil- and reservoir complexity. But Lukoil has been
field, the company said in a statement on June afforded lucrative tax breaks from the Russian
22. government at its projects, including zero export
The Astra jack-up rig, owned by Russia’s duty on the oil it produces and a reduced rate of
Eurasia Drilling Co. (EDC), will drill the well mineral extraction tax (MET).
to a depth of 1,650 metres. The well is targeting Caspian fields are set to play a vital role in
structural tectonic features where its other major Lukoil’s mid-term growth plans. Its other major
Caspian discoveries, Korchagin, Filanovsky and undeveloped fields in Russian waters include
Grayfer, have been found. Sarmatskoye, Khvalynskoye and 170 km. While
Lukoil also said it was undertaking studies at Lukoil’s development plans so far have been
the Khazri and Titonskaya structures in the Cen- mainly oil-focused, these remaining fields con-
tral-Caspian licence. It is currently drilling a sec- tain large quantities of gas.
ond borehole at the former, with a target depth of Lukoil CEO Vagit Alekperov wrote to Russian
5,200 metres, in waters 45 metres deep. President Vladimir Putin in January requesting
Lukoil began working in the Caspian Sea exploration rights to additional areas in Russia’s
since the 1990s and has found ten fields since Caspian zone, namely the Tyuleniy-1, -2 and -3
then with 7bn barrels of oil equivalent (boe) in blocks. Putin is understood to have referred the
combined recoverable reserves. The company matter to the Russian government, but no deci-
launched its first offshore oil production at the sions have been taken.
Korchagin field in 2010, followed by Filanovsky Lukoil’s interests extend beyond Rus-
six years later. sian waters, with the company taking part in
Grayfer is due on stream by the end of 2022, upstream projects off the coast of Azerbaijan
and is expected to flow 24,000 barrels per day and Kazakhstan. Alekperov also held talks in
of oil at full capacity. The company produced February with Turkmen President Gurbanguly
around 150,000 bpd of oil at Korchagin and Berdimukhamedov on getting access to Turk-
Filanovsky last year. menistan’s Caspian shelf. ™

P16 www. NEWSBASE .com Week 25 24•June•2020