Royal Dutch Shell Plc  .com Rotating Header Image

Kashagan oilfield may not restart until 2016

Screen Shot 2014-04-06 at 21.01.34Extracts from a Reuters article by Mariya Gordeyeva published 21 May 2014 under the headline: Kashagan oilfield may not restart until 2016, Kazakh minister says

May 21 (Reuters) – Oil output at Kazakhstan’s giant Kashagan field may not resume until early 2016, Kazakh Oil and Gas Minister Uzakbai Karabalin said on Wednesday, urging foreign partners to start replacing leaky pipelines at the deposit. Production at Kashagan, the world’s biggest oil find in 35 years, started last September but halted in early October after the discovery of gas leaks in the $50 billion project’s pipeline network. The North Caspian Operating Company (NCOC), which develops the offshore field in the Caspian Sea, said last month that it did not expect to produce oil this year due to the leaks. “It (production) may restart by the end of 2015 if all goes well,” Karabalin told Reuters on the sidelines of the Astana Economic Forum. “Otherwise, it may turn out to be early 2016. NCOC includes Eni, Exxon Mobil, Royal Dutch Shell, Total, China’s CNPC, Japan’s Inpex and Kazakh state-run company KazMunaiGas.

FULL ARTICLE

Comment received from an old EP hand

On Kashagan, I would like to know who signed off on the design of the pipelines that apparently were of the wrong specs and unable to handle H2S?

I guarantee you that there will be a document (detailed design) that is signed off by everyone and on the basis of which the piping has been ordered.

It is not important to know the individual who did so, but to which company did he (or she) belong? That company is presumably keeping a very low profile now.

And perhaps they were clever enough to have all the partners sign off on the design and purchase orders. I wonder who will pay the bill for this cock-up?

And this actually was a simple one to avoid. The composition of the fluids was known so there is no excuse to come up with the wrong specs for the pipework.

If I were a director I would be very nervous on the quality control of all the welding that was done. And will all the valves be replaced too or will there be a solution by injection corrosion inhibitors?

In that case you save on Capex but saddle the operator with higher Opex and with a high chance (read certainty) this corrosion inhibition will go wrong one or more times. Can anyone make a suggestion?

royaldutchshellplc.com and its sister websites royaldutchshellgroup.com, shellnazihistory.com, royaldutchshell.website, johndonovan.website, shellnews.net, shell2004.com, shellshareholders.org, don-marketing.com and cybergriping.com are all owned by John Donovan. There is also a Wikipedia article: royaldutchshellplc.com

0 Comments on “Kashagan oilfield may not restart until 2016”

Leave a Comment

%d bloggers like this: