OREANDA-NEWS. March 24, 2010. Led by Alexander Ananenkov, Deputy Chairman of the Gazprom Management Committee, a group of the Company’s experts started a business trip to the Yamal-Nenets Autonomous Okrug (YaNAO). It is planned to visit the facilities being constructed as part of the Yamal megaproject.

Today Gazprom’s experts arrived at the Bovanenkovo field, which is of primary significance for the large-scale development of the Yamal Peninsula, as well as for the construction of a new big gas production center. The first gas will be fed to Russia’s Unified Gas Supply System as soon as in the third quarter of 2012.

Alexander Ananenkov held a local meeting dedicated to the construction of the first startup complex within the Bovanenkovo field pre-development process and creation of the necessary transmission infrastructure.

Taking part in the meeting were heads and experts from the Company’s specialized subdivisions and Gazprom dobycha Nadym, Gazprom bureniye, Gazpromtrans, Gazprom komplektatsiya, Gazprom VNIIGAZ, and VNIPIgazdobycha.

It was emphasized that operations at the Bovanenkovo field were progressing according to the preset schedule. Particular attention was paid to the construction of the first module of the comprehensive gas treatment unit (CGTU), where installation of large-block equipment is coming to an end now. The work is in progress to create building frames for CGTU facilities and pile foundations for a booster compressor station. In addition, landfilling operations have started at the construction site for the second module of CGTU.

Drilling of production gas wells is being intensified – another two Ekaterina drilling rigs have been launched, making their total number equal to nine. 29 wells were drilled in 2009, while in 2010 it is planned to drill twice as much of them.

Construction of the relevant transmission infrastructure also continues. It will secure year-round delivery of materials and equipment for the Bovanenkovo field pre-development. There have been started landfilling works and construction of flume pipes and bridges at the Bovanenkovo station – Karskaya station section of the Obskaya – Bovanenkovo railroad. Besides, the first phase construction of the Bovanenkovo airport is underway.

Based on the meeting results, the Gazprom Administration specialized subdivisions, subsidiaries and contracting companies were tasked to maintain the rapid pace of the pre-development facilities construction in the Bovanenkovo field.
Background

The Yamal Peninsula is a region of Gazprom’s strategic interests. Commercial development of Yamal’s fields will increase local gas production to 310–360 billion cubic meters per annum by 2030. Accessing the Yamal is very important for ensuring domestic gas production growth.

11 gas and 15 oil, gas and condensate fields with approximately 16 trillion cubic meters of explored and preliminary estimated gas reserves (ABC1+C2) and nearly 22 trillion cubic meters of in-place and forecast gas reserves (C3-D3) have been discovered on the Yamal Peninsula and in its adjacent offshore areas. Condensate (ABC1) and oil reserves are estimated at 230.7 and 291.8 million tons, respectively. The Bovanenkovo field is the most significant field on Yamal in terms of gas reserves (АВС1+С2) – 4.9 trillion cubic meters.

In December 2008 Gazprom commenced practical implementation of the Yamal megaproject. The Company started the operations aimed at the Bovanenkovo field development and the Bovanenkovo – Ukhta gas trunkline system (GTS) construction. Commissioning of the first startup complexes for the Cenomanian-Aptian deposits pre-development in the field and the GTS construction are scheduled for the third quarter of 2012.

The first startup complex involves construction of 98 wells (60 wells are to be brought onstream in the third quarter of 2012) and the first module of the CGTU.

Projected gas production in the Bovanenkovo field is estimated at 115 billion cubic meters per annum to be increased to 140 billion cubic meters in the long term.

In January 2010 Gazprom launched the regular operation of the 525-kilometer Obskaya – Bovanenkovo railroad.

The Obskaya – Bovanenkovo railroad commissioning and construction of the railroad section to the Karskaya station (572 kilometers) (regular operation of the Bovanenkovo – Karskaya section is scheduled for 2010) will ensure year-round, rapid, cost effective and all-weather delivery of cargoes and personnel to the Yamal fields in the severe polar climate.

The railroad will allow transportation of up to 3 million tons of cargoes per annum. These include construction materials, machinery, equipment, metal structures, fuels and lubricants, chemicals, pipes and cables required to develop the Bovanenkovo and other fields on Yamal, as well as to construct and operate the Bovanenkovo – Ukhta GTS. In addition, the railroad will help deliver liquid commodities, in particular, gas condensate, from Yamal’s fields.