OREANDA-NEWS. January 15, 2010.
Oil Production
The production of the oil companies in the Republic of Tatarstan amounted to 2,757,138 tons of crude oil accounting for 104.5% versus the month of December in 2008. The amount of 32,508,090 or 100.75% versus 2008 was produced in 2009. The production share of independent oil companies amounted to 6,657,649 tons of crude oil accounting for 158,776 tons increase versus the year 2008 (102.4%). The share of independent oil companies in the total crude oil production at the republican scale constituted 20.5%, reported the press-centre of TATNEFT.

OAO TATNEFT produced 2,194,749 tons of crude oil in December, which constituted 104.7% versus December 2008. The above-the-plan production volume amounted to 42,218 tons (102.0%). The amount of 2,134,210 tons of crude oil was delivered with the above-the-plan delivery amounting to 40,250 tons.

OAO TATNEFT produced 25,850,441 tons of crude oil in 2009, which made 84,270 more than in 2008 (100.3%) with the above-the-plan production amounting to 450,441 tons (101.8%).

The amount of 25,594555 tons of crude oil was delivered with the above-the-plan delivery amounting to 852,775 tons.

Drilling
The total penetration in 2009, taking into account the operation of OOO TNG-Lenburneft, amounted to 537 thousand meters (762 thousand meters in 2008) including 404 thousand meters drilled for OAO TATNEFT (476 thousand meters in 2008) with 381 thousand meters of production drilling and 23 thousand meters of exploratory drilling; 38 thousand meters (43 thousand meters in 2008) were penetrated for the subsidiary companies of OAO TATNEFT with production drilling amounting to 13 thousand meters and exploratory drilling amounting to 25 thousand meters; 95 thousand meters (243 thousand meters in 2008) were penetrated for joint ventures and independent oil companies, including 85 thousand meters of production drilling and 10 thousand meters of exploratory drilling.
 
Totally 348 wells were constructed and handed over to customers (523 wells in 2008), including: 269 wells drilled for OAO TATNEFT (322 wells in 2008), including 245 production wells and 24 exploratory wells; 25 wells were built for the subsidiary companies of OAO TATNEFT (22 wells in 2008), including 11 production wells and 14 exploratory wells; 54 wells were constructed for joint ventures and independent oil companies (179 wells in 2008 including 45 production wells and 9 exploratory wells.

33 crews of OOO Bureniye Company performed well drilling operations with application of traditional drilling techniques during 2009. Besides, one drilling crew performed works on construction of wells drilled in the underbalanced pressure mode for NGDU Bavlyneft. They penetrated 498,999 meters and handed over to the customers 325 wells (715,450 meters drilled and 484 wells delivered in 2008), including 376,980 meters drilled and 248 delivered for OAO TATNEFT (456,705 meters drilled and 300 wells delivered in 2008). Production drilling for OAO TATNEFT amounted to 353,718 and 224 wells while exploratory drilling amounted to 23,262 meters drilled and 24 wells delivered. 6 drilling crews operated in the territory of the Samara District. 49 thousand meters were penetrated outside the Republic of Tatarstan. 75.9 thousand meters were penetrated in horizontal wells and multilateral downhole splitters.

Penetration per one drilling crew amounted to 15.0 thousand meters in 2009, while per crew penetration amounted to 15.3 during the year 2008.

Drilling operations of OOO Lenburneft with application of traditional drilling techniques were performed by 4 drilling crews. One crew was drilling a well for OAO Krasnoyarskgazprom Company in the Krasnoyarsk Area, while two crews were drilling wells for NGDU Leninogorskneft and one drilling crew performed drilling operations to the bituminous deposits at Ashalchinskoye field of NGDU Nurlatneft. 37,985 meters were penetrated and 23 wells were delivered, including 27,492 meters drilled and 21 wells delivered for OAO TATNEFT (46,218 meters had been penetrated and 39 wells had been delivered during the corresponding period of 2008 with penetration for OAO TATNEFT accounting for 19,235 meters and 22 wells). 10 crews were engaged in drilling lateral and horizontal wellbores with 7 of them drilling horizontals and laterals for NGDUs of OAO TATNEFT and 3 crews performed drilling for outside companies in the territory of the Orenburg District. 26,391 meters were drilled and 77 wells were delivered including 16,744 meters and 57 wells for OAO TATNEFT (22,212 meters and 68 wells for OAO TATNEFT during the corresponding period of 2008).

Wells Workover
722 well remedial operations were performed in December 2009 and 9,575 well remedial operations were performed in 2009. Mean time between failures (MTBF) increased from 907 days to 1,011 days (by 11.5%) during the year. The shortfalls of crude oil production were reduced by 17%.versus the previous year. The daily average down time in expectation of well remedial operations with regard to the active well stock reduced by 16.6%. The number of current repair of injector wells increased by 25% from 1,010 to 1259.

44 well remedial operations were performed in ZAO Tatneft-Samara (5 wells in December)

9 treatment facilities of the technologically refined liquids for well workover and corrosion inhibiting liquids were constructed and put into operation in the course of the year. As of today there are 20 facilities of the kind in operation replacing 92 formation water intake stand pipes.

The well operations slick line crews of five NGDUs (Oil and Gas Production Boards): Almetyevneft, Leninogorskneft, Elkhovneft, Prikamneft and Nurlatneft were equipped with video registration systems. The same work has been planned to be implemented in NGDUs Yamashneft, Bavlyneft, Jalilneft, and Aznakaevskneft for 2010.

By the results of the year's work the planned levels in the workover field were fulfilled by all Oil and Gas Production Boards in 2009 and 1,984 wells were worked over (130 wells in December).
Additional crude oil production resulting from workovers amounted to 352.3 thousand tons, which is 10% more than in 2008, while the average daily production rate increment after workover increased by 35% in 2009 and amounted to 3.5 tons per day.

Pilot operations were performed with application of 14 technologies.

542 wells were worked over with application of coil tubing (32 wells in December), including 133 wells worked over through the annulus. The average daily production rate increment resulting from application of this method amounted to 2.2 tons per day.

Hydrofracking operations were performed at 113 wells with the average daily production rate increment in the amount of 3.7 tons per day. The cumulative incremental oil production amounted to 3,032 thousand tons with 47% of this amount (1,410 thousand tons) produced from the wells of NGDU Almetyevneft.

17 slim holes were drilled and completed for OAO TATNEFT.

38 wells were drilled and completed for small oil companies.

Works on oil recovery enhancement were performed at 1,642 wells (78 wells in December), including chemical treatment methods applied at 934 wells (32 wells in December).

The incremental crude oil production на per one treatment resulting from application of the enhanced oil recovery methods increased by 35% versus the previous year and amounted to 3.1 tons per day, including 37% attributed to the application of chemical methods and amounting to 2.6 tons per day.

Operations for bottomhole treatments with application of TATNEFT's technologies were performed at 1,959 wells and the production of chemical products amounted to 30 thousand 122 tons for the amount of 663 million rubles.