Karachaganak Petroleum Operating BV, the operator of the Karachaganak oil field in western Kazakhstan, has awarded a consortium of Saipem SPA and Consolidated Contractors International Co. an $800 million contract for the main works for the Karachaganak field.
The contract covers civil works, infrastructure and mechanical works related to a production unit and gas reinjection facilities, a process plant and a 635-km, 24-in. pipeline with pumping station and terminal.
Partners in the Karachaganak Petroleum Operating joint venture company are BG PLC (32.5%), Agip SPA (32.5%), Texaco Inc. (20%), and Lukoil (15%).
Saipem is an affiliate of Italian company ENI SPA. Agip is also an affiliate of ENI.
In July, the operating company awarded Saipem SPA and Parker Drilling Co. a 3-year drilling contract on the field. Karachaganak proven reserves are 1.2 billion tonnes of oil and condensate and 1.35 billion cu m of gas. Production is forecast at 80,000 boe/d this year, vs. 66,000 boe/d last year (OGJ Online, July 26, 2000).
