Huge Oilfields to Boost Kazakhstan’s Crude Output from 2017

Kazakhstan’s currently stagnant oil production is forecast to rise from 2017 after the Central Asian nation’s huge Kashagan oilfield restarts output and the Tengiz project is expanded, a senior energy official said on Wednesday.

Kazakhstan, the second-largest post-Soviet oil producer after Russia, lowered oil output by 1.2 percent last year to 80.8 million tonnes. It is officially forecast to produce 80.5 million tonnes this year.

“In 2017, we expect oil production to rise to 86 million tonnes, and in 2020 to grow to 104 million tonnes,” Deputy Energy Minister Uzakbai Karabalin told a news conference.

“It is linked mainly to the expansion at the Tengiz oilfield and resumption of production at the Kashagan offshore deposit.”

Chevron-led Tengizchevroil, which develops the giant Tengiz onshore field, plans to boost output by 42 percent to 38 million tonnes by 2021.

The Kashagan oil project, launched in September 2013 but shut just a few weeks later due to gas leaks in its pipelines, is planned to be restarted in the second half of 2016.

RIGZONE

9 Comments on "Huge Oilfields to Boost Kazakhstan’s Crude Output from 2017"

Davy on Wed, 25th Feb 2015 9:21 am 



Article said – Kazakhstan’s currently stagnant oil production is forecast to rise from 2017 after the Central Asian nation’s huge Kashagan oilfield restarts output and the Tengiz project is expanded, a senior energy official said on Wednesday.

I wonder is this with projected increases in oil prices or profitability of current prices?

BTW:
Tonnes of crude oil produced are translated into barrels using conversion rates reflecting oil density fromeach of our oil fields. Crude oil purchased as well as other operational indicators expressed in barrels are translated into barrels using a conversion rate of 7.33 barrels per tonne.

“In 2017, we expect oil production to rise to 86 million tonnes, and in 2020 to grow to 104 million tonnes,” Deputy Energy Minister Uzakbai Karabalin told a news conference.

Doing the math then that is roughly 460,000 increase a day increase to maybe occur in two years. Is that really news worthy or hopium?

Beery on Wed, 25th Feb 2015 11:15 am 



Didn’t you read the headline? The oilfields are HUGE! The hugeness is also reinforced by the fact that they repeat the word huge in the first paragraph. I mean what more evidence do you need?

Beery on Wed, 25th Feb 2015 11:16 am 



Okay, sure, they didn’t use the word “vast”, but vast and huge mean exactly the same thing, and as a result, we’re going to be bathing in oceans of oil by 2018.

Bob Owens on Wed, 25th Feb 2015 2:52 pm 



Kashagan is notorious for cost over-runs and delays. It is a never ending money pit that may never produce. When they first started pumping it turned out the oil was so corrosive that they needed to replace all their pipes with upgraded pipes so they wouldn’t be eaten through. This field may never produce oil. Don’t count on it.

shortonoil on Wed, 25th Feb 2015 4:44 pm 



I stated more than 10 years ago that Kazakhstan’s fields would never come to their full projected production levels. They haven’t, and won’t. 15% sulfur content, extremely low permeability, and some of the worse environmental problems on earth ensures that its now $32 billion budget over run will only get worse. Kazakhstan can be included with shale, bitumen, ultra deep water , and high sulfur extra heavy. It is just another dead man walking.

Speculawyer on Wed, 25th Feb 2015 9:18 pm 



Maybe it will eventually produce some oil, but I don’t think Cash-is-Gone will ever produce profits.

James on Thu, 26th Feb 2015 4:36 pm 



Kazakhstan will probably give priority to Russia and China, along with other enemies of the U.S. before we see any of the oil.

Davy on Thu, 26th Feb 2015 5:07 pm 



James the oil market is a global market so market priority is not yet the issues. When we go into a crisis mode and economic nationalism begins then we may see oil resources divvied up. But remember that when it gets to that point it might not only be oil used in economic nationalism. Food can also be used that way. If we get to the point of economic nationalism and resource wars the end could be near.

Keith_McClary on Thu, 26th Feb 2015 11:53 pm 



“The Kashagan field, named after a 19th century Kazakh poet from Mangistau, is one of the world’s largest oil discoveries of the last forty years.”
http://www.ncoc.kz/en/kashagan/default.aspx

“Discovered in July 2000, Kashagan has been described as the largest field found in the past 30 years”
http://www.offshore-technology.com/projects/kashagan/