The first section presents the main characteristics of the giant kashagan oil field and the consortium that has been developing it since 1997. Tariffs are low for the cpcs shareholders, which include kashagan partners kazakh state firm kazmunaigaz, exxon, eni. Being the largest oilfield of the country, the kashagan field bears. The agreement includes seven companies consisting of kazmunaygas, eni. Kashagan eni holds a 16,81% working interest in ncspsa, which defines terms and conditions for the exploration and development of the kashagan field discovered in the northern section of the. At that time, the sponsors, led by the italian energy company eni, announced the project would not be completed until 2010 and the total cost was likely to be. The kashagan stitchup update to the hellfire economics briefing papera by greg muttitt of platform 15 january 2008 published by. The kashagan oil drilling project, operated by the north caspian operating co ncoc, is seen on the manmade island in the caspian sea, off the coast of kazakhstan file. At that time, the sponsors, led by the italian energy company eni, announced the project would not be. Kashagan, eni hoped, would put it into the top tier of international oil companies. When discovered in the 1990s, the kashagan oil field was the second largest oil field in the world. Problems for kazakhstan at the countrys biggest field. However, its worth mentioning that there are still significant uncertainties associated with evaluation of the hydrocarbon resources and reservews.
Kazakhstans giant kashagan field hit a record high crude output level of 400000. It need only ask its partner, shell, how rising costs across the industry and unforeseen complications on the ground can derail a big projects timetable. Production is expected to target a 180,000 bd plateau, eventually achieving 370,000 bd by the end of 2017, according to italys eni a partner 16. It is located off the northern shore of the caspian sea near the city of atyrau, kazakhstan. Depositional setting and diagenetic processes and their impact on the reservoir quality in the late viseanbashkirian kashagan carbonate platform precaspian basin, kazakhstan.
Kashagan, offshore of kazakhstan, produces oil and gas and is one of the biggest fields we have discovered in the past 40 years, with reserves of 35 billion. Pdf case study of the kashagan oil field project vlad ilie. What do the kashagan delays mean for the oil industry. This is an optimum place for reef building because for reef building we require a. Advanced upscaling for kashagan reservoir modeling. The kashagan project is likely to be delayed again. The recently announced super giant kashagan discovery in the kazakhstan sector of the north caspian sea is the worlds largest discovery in three decades. The kashagan production sharing agreement psa case. Kashagan, offshore of kazakhstan, produces oil and gas and is one of the biggest fields we have discovered in the past 40 years, with reserves of 35 billion barrels of oil on site. Phase i of kashagan s development has been extended twice, and current. Procurement manager 092009 to 1020 agip eni kashagan project offshore, kazakhstan. If the kashagan debacle left the impression that eni was not up to managing the largest projects, the company could be forgiven a feeling of misfortune. The kashagan field, the largest known oil field outside the middle east and the fifth largest in the world in terms of reserves, is located off the northern shore of the caspian sea near the city of atyrau, kazakhstan.
Eni was founded and established by law in 1953 from an existing company, agip, which was created in 1926 with the aim to explore for oilfields, acquire and commercialize oil and derivatives. The field, discovered in 2000, is located in the northern part of the caspian. Kashagan and tengiz castor and pollux daniel johnston and david johnston adapted from petromin magazine 15 december, 2001. The field, discovered in 2000, is located in the northern part of the caspian sea close to atyrau and is considered the worlds largest discovery in the last 30 years, combined with the tengiz field it is estimated that the kashagan field. Pdf depositional setting and diagenetic processes and. Leoni, eni summary the kashagan field is a huge carbonate formation.
Oil development in the north caspian places the tourism and fishing industries at. Encyclopedia of hydrocarbons eni pdf writer encyclopedia of free download here. Eni and kpm complete transfer of subsoil use rights of. Eni announces that the first batch of export crude oil has been shipped from the onshore processing plant of the giant kashagan oil field.
Following the successful pipelines replacement, the field has been recently reopened. Eni is joint operator of the karachaganak field and is an equity partner in various projects in the northern caspian sea, including the giant kashagan field. Most of kashagan s oil exports will flow via the caspian pipeline consortium cpc pipeline, kazakhstans premium export route. Flr announced today that a fluorled joint venture known as north caspian constructors ncc has been awarded the onshore construction of kashagan experimental program facilities by agip kco, a company wholly owned by eni. Eni and its partners originally said first oil would come on stream in 2005. The kashagan field is the largest known oil field outside of the middle east and the fifthlargest field in the world in terms of reserves. But it seems kashagan was simply too big and complex for eni. Among the possible various export routes for kashagan oil, btc route which may not be the most logical or cost effective one, based on the predictive model used and a winning coalition explained will likely be the chosen route for its most viable and strong complementary nature for kashagan. Kashagan eni holds a 16,81% working interest in ncspsa, which defines terms and conditions for the exploration and development of the kashagan field discovered in the northern section. North caspian operating company ncoc is an operating company for the north caspian sea production sharing agreement ncspsa. The companys supporters have attempted to portray the dispute as bullying by kazakhstan in an effort to gain control of the project and sympathetic analysts likened kmgs and the governments actions to gazproms takeover of control of sakhalin energy at the end of 2006. Eni is cooperator of the karachaganak field and the partner in the north caspian sea production sharing agreement ncspsa. Eni and ge renewable energy to power badamsha plant, eni. Kashagan development project dedicated to project controls.
Kashagan not only threatens the environment, it also threatens the livelihoods of millions of residents of the caspian region. Among the possible various export routes for kashagan oil, btc route which may not be the most logical or cost effective one, based on the predictive model used and a winning coalition explained will likely be the chosen route for its most viable and strong complementary nature for kashagan production plans and for its geopolitical. Kazakhstans kashagan output hits 400,000 bd in early sep. At that time, the sponsors, led by the italian energy company eni, announced the project would not be completed until. Launch of oil and gas production at the kashagan field the economy of kazakhstan is highly dependent on energy. Following the successful pipelines replacement, the. We are a cooperator of the karachaganak producing field and is a part of the north caspian. In kazakhstan, eni is joint operator of the karachaganak field with a 29. Kashagan oil field project why has the global kashagan oil field project. Goahead at kashagan will force the pace of negotiations for a new export pipeline. In addition to kashagan, about 120 oil fields and perspective structures table 1. Provided a focal point for materials purchasing and liaising between contractors, vendors and.
Kashagan offshore oil field project offshore technology oil and gas news and market analysis, 2018 kashagan east 2 was discovered in late 2001, kashagan east 2 was drilled to a depth of 4142. The kashagan production sharing agreement psa harvard. Fluor wins kashagan construction project fluor newsroom. Kashagan, with an estimated bn barrels of oil, is kazakhstans and one of the worlds most important oil projects. Kashagan restarted production, finally shipping the first batch of export crude oil in october. Platform uk, center globus kazakhstan, cee bankwatch network. Eni will also have to cede its lead role in the consortium to shell after the startup phase, while the other consortium members will be assigned new roles in the project once production begins. It has been a humiliating mess, especially for eni, kashagan s unlikely initial operator. Prospects of export routes for kashagan oil sciencedirect. Exxon, shell, total, eni have placed high stakes on kashagan s commercialization since its discovery in 2000. Eni was one of the first international energy companies to come to kazakhstan, in the early 1990s, and in 2000 we discovered the offshore oil and gas field 80km southeast of atyrau, in the north caspian. In march 1953, enrico mattei was nominated eni s chairman.
Eni starts commercial production at badamsha wind farm. Basement the basement of the kashagan is a stable platform where the reef building activity takes place. As of end 2019, eni equity production at karachaganak and kashagan projects reached the level of 170 thousand barrel of oil equivalentday, which is equal to 9% of the our total worldwide production. The kashagan shareholders are eni, exxon mobil, royal dutch shell, frances total and kazakh state oil company kazmunaigas, each with 16. The giant kashagan field ranks as one of the largest oil discoveries of the past four decades, with approximately nine to thirteen billion barrels, or one to two billion tonnes, of. Four of the agip kco shareholders, including eni, conocophillips, inpex and total, also have stakes in the. Advanced upscaling for kashagan reservoir modeling p. Kashagan is estimated to hold billion recoverable barrels of crude, making it the largest new oil found worldwide in over a decade.