OREANDA-NEWS. December 17, 2010. Oil and gas industry workers and geologists of Turkmenistan celebrated the professional holiday established on the initiative of President Gurbanguly Berdimuhamedov. The conference on the Achievements of the Oil and Gas Industry of Turkmenistan in the Epoch of New Revival and Great Reforms was held in the central office of the oil and gas ministries and departments on this day. The cabinet ministers, heads of sectoral ministries and enterprises of the domestic fuel and energy and university professors participated in the forum.

The congratulatory address of President Gurbanguly Berdimuhamedov to Turkmen oil and gas industry workers and geologists was presented at the conference. Evaluating highly the selfless efforts taken by Turkmen workers to implement the Programme for the oil and gas industry development for the period till 2030, the Turkmen leader emphasized that our Fatherland, which had illimitable wealth, ranked among the countries with the strongest oil and gas infrastructure in the world. Due to the favourable geopolitical and economic location, richest hydrocarbon deposits Turkmenistan was highly influential at the international level as a very dependable and promising partner.

The leader of the Turkmen state issued the Resolution establishing the Day of Oil and Gas Industry Workers and Geologists a year ago, when the truly historic event not only for the dynamically developing oil and gas industry of our country, but also in the modern history of independent Turkmenistan took place. On that day the Trans-Asian gas pipeline, which opened the gate for Turkmen ‘blue fuel’ to China, one of the promising markets of the world, was put into operation.

It was noted at the conference that the implementation of the large-scale international project called rightfully the project of XXI century had vividly testified to the success of Turkmenistan’s energy strategy pursued under the leadership of President Gurbanguly Berdimuhamedov Turkmenistan and aimed at enhancing the potential the domestic oil and gas industry, promoting international energy cooperation and diversifying transit of Turkmen energy to world markets. In this sense, the current year has been marked with several significant facts and events illustrating the concrete steps of the Turkmen state that confidently moves towards the goals in the energy sector.

These historic steps included the Turkmenistan-Afghanistan-Pakistan-India Summit held in the in the capital of Turkmenistan recently. This Summit became the starting point for the construction of the large energy bridge – the TAPI gas pipeline. This high-level meeting was attended by President of Turkmenistan Gurbanguly Berdimuhamedov, President of the Islamic Republic of Afghanistan Hamid Karzai, President of the Islamic Republic of Pakistan Asif Ali Zardari and Minister of Petroleum and Natural Gas of India Murli Deora. The Intergovernmental Agreement and the TAPI Framework Gas Pipeline Agreement between Turkmenistan, the Islamic Republic of Afghanistan, the Islamic Republic of Pakistan and India were signed upon concluding the Summit.

Commenting on the international significance of these documents inaugurating the implementation of the TAPI Gas Pipeline Project, which would ensure supply of 33 billion cubic metres of Turkmen gas a year to largest countries in the Asian continent, President Gurbanguly Berdimuhamedov emphasized that besides commercial and economic benefits the construction of the new energy bridge was to have a stabilizing effect on the situation in the region and beyond.

The implementation of the TAPI project is a critical component of Turkmenistan’s energy strategy, which envisages diversification of export of Turkmen energy and, in particular natural gas to world markets. Putting the designated plans in this field in action step by step, Turkmenistan supplies ‘blue fuel’ to the Russian Federation, the People’s Republic of China and the Islamic Republic of Iran. However, gas cooperation with Iran and China shows a steady trend towards full-scale development this year.

Dovletabat-Sarahs-Hangeran, the second gas-main pipeline to Iran, was put into operation with the participation of President of Turkmenistan Gurbanguly Berdimuhamedov and IRI President Mahmoud Ahmadinejad this January. In November, the leaders of two friendly countries attended the ceremony of putting the pipeline Hangeran-Sangbast into operation in Iran. This line, which is an extension of the Dovletabat-Hangeran pipeline and an important section of the trans-Iranian gas pipeline, will play a strategic role in furthering bilateral energy cooperation between Turkmenistan and Iran. Because the new and existing pipeline infrastructure built in the territory of the two states will ensure supply of 20 billion cubic metres under the contract as well as, if necessary, much larger volumes via the gas-main pipelines in Iran, which have direct access to international energy markets.

The ceremony of putting the Bagtyyarlyk gas compression station, which is an important part of the Turkmenistan-China gas transportation system, into operation with the participation of the President of Turkmenistan took place in Hojambaz Etrap this September. The station with the designed capacity of 70.5 megawatts is capable of transporting 60 million cubic metres a day to the pipeline. This will enable to increase significantly ‘blue fuel’ supplies to the Trans-Asian gas pipeline. As is known, this June Ashgabat and Beijing reached the agreement to increase the volume of gas supplies from Turkmenistan to Chinese consumers and harmonized the issues regarding the construction of the second line of the Turkmenistan-China pipeline.

Enhancing natural gas exports, Turkmenistan expands the base of this strategic kind of fuel. Effective exploration work carried out by specialists of the Turkmengeologiya State Concern allowed increasing the estimated gas reserves of the giant deposit Southern Yoloten up to more than 22 trillion cubic metres that promotes Turkmenistan towards the top gas producers in the world.

The work to put this field on production is under way. To this end, the Turkmengaz Gas Concern is implementing the USD 10 billion worth project on the initiative of the national leader for the development of South Yoloten in collaboration with service companies from the PRC, Korea and the UAE.

Development of other deposits of the country is no less effective. This is illustrated by discovery of gas and condensate fields throughout the country. So, the deposits discovered in Lebap Velayat include Agarguyy, Northern Gazlydepe, South Gutlyyak, Geyazly in Ahal Velayat, Minara in Mary Velayat. Also, commercial gas influxes achieved in the explored deposits guarantees an increase in commercial reserves. In particular, this has already done in the fields of Northern Nayip, Bagaja, Chartak in Lebap Velayat, Garajaovlak in Ahal Velayat, Garadurun and Ajiyap in Balkan Velayat, Yashlar in Mary Velayat.

The subdivisions of Turkmen fuel and energy ministries and departments take the successful measures to implement the task set by the Turkmen leader to complete discovered deposits for commercial production as soon as possible. For example, since 2009 the enterprises of the Turkmengaz State Concern and the Turkmennebitgazgurlusik State Concern have been carrying out pilot and commercial operations in the group of deposits Gurrukbil-Garabil in Mary Velayat that will enable to increase gas production in this area up to 4 billion cubic metres a year in the near future. The gas pipeline Zeakli-Derveze-Yylanly compressor station in Central Karakum was put into operation, and commercial development of the Central Karakum group of deposits was launched this year on the eve of Independence Day. These measures will contribute significantly to enhancing Turkmenistan’s potential.

Specialists of the Turkmengaz State Concern and the Turkmennebitgazgurlusik State Concern are implementing the large-scale infrastructure project of the East-West gas pipeline, the length of which is about 1000 kilometers. This gas pipeline with the capacity of 30 bcm a year will enable to connect all largest deposits throughout the country into the ‘blue ring’ as well as extend opportunities to diversify fuel exports.

The active measures are taken today to develop the oil industry of the country. In recent years oil infrastructure has been developed in western Turkmenistan through applying innovative engineering solutions and best international practices. The Turkmennebit State Concern has established cooperation with leading international companies specializing in well drilling, field overhaul, equipment manufacturing, pipeline construction.

Today, substantial investments are attracted to modernize Turkmenistan’s oil industry. Enterprises of the Turkmennebit State Concern are supplied with latest technologies and state-of-the-art equipment from leading manufacturers from Germany, the United States, China and Russia. State-of-the-art equipment and technologies allow finding new oil pools in deposits inaccessible before that significantly increases hydrocarbon reserves available to be developed.

The priority fields of the activity of the State Concern include construction of surface facilities in newly discovered oil and gas fields. The fields recently put on production include Chekisler, Southern Kamyshlyja, Nebitlije located in the west of the country. In February 2010, the State Concern launched first drilling operations in Northern Goturdepe located partially on the Caspian coast. In April, specialists of the State Concern discovered new oil pools in Altyguyy field, which has been developed as a gas field before, in this region.

To fulfil the strategic tasks set by President Gurbanguly Berdimuhamedov to accelerate the activity to explore new reserves of liquid hydrocarbon fuel, the Turkmennebit State Concern are performing prospecting works in a number of new areas, including Kemer Miyesser, Garadasli, Western Korpeje, Simler, Sayyrdy, Akeser located in the western part of the country.

In recent years, the oil production programme is actively implemented in other regions of the country. For example, last year ‘black gold’ extraction operations were launched in the Karakum Desert for the first time in the history of Turkmenistan. In this region the Turkmennebit State Concern develops the new fields Yylakly and Mydar.

The great prospects for increasing oil production capacity are associated with the Southern Yoloten field, where exist oil accumulations along with abundant natural gas reserves. ‘Black gold’ is extracted in the Yashildepe field on the right bank of the Amu Darya River. By the way, oil extracted in these fields makes up a significant portion in the total volume of raw materials piped to Seidi oil Refinery.

The comprehensive measures taken by the Turkmennebit State Concern to stabilize and increase mineral production in the fields of western Turkmenistan, which are at the final commercial development stage, have produced positive results. For example, in such large fields as Goturdepe, Nebitdag, Kumdag, Barsagelmes, Ekerem Cheleken and others specialists have constructed booster and gas compressor stations, drilled many new wells, built hundreds of kilometres of pipelines and lines of oil-gathering stations. All this along with the use of advanced technologies and state-of-the-art equipment leads to increasing oil production rates and boosting ‘black oil’ production.

The great prospects for enhancing further of the profound potential of the oil and gas industry are associated with expansion of mutually beneficial international energy cooperation. In this aspect, President Gurbanguly Berdimuhamedov spotlighted the projects for development of deposits in the Turkmen sector of the Caspian Sea, construction of new energy export routes, application of state-of-the-art equipment and advanced technologies to extract hydrocarbon resources in on- land deposits and in the petrochemical industry as the priority areas of cooperation.

The sectoral exhibitions and conferences “Oil and Gas of Turkmenistan”, the Gas Congress, international investment forums held in Ashgabat on a regular basis illustrated the keen interest showed by the international business community in developing partnership with Turkmen oil and gas enterprises. These meetings provide a splendid opportunity to hold the talks between foreign leading companies and Turkmen oil and gas enterprises, discuss new ideas and concrete projects aimed at developing the fuel and energy sector of Turkmenistan and effectively exploring its tremendous hydrocarbon resources.

The ceremony of awarding best oil and gas industry workers and geologists took place in the framework of the conference. In honour of the professional holiday valuable presents were presented to them on behalf of President Gurbanguly Berdimuhamedov.

Upon concluding the forum, the participants adopted the Address to the President of Turkmenistan expressing profound gratitude for his tireless efforts and substantial support for the oil and gas industry and the geological sector, and assured the national leader that Turkmen specialists would spare no effort to achieve the goals set forth in the National Programme for the oil and gas industry development for the period till 2030.