Overview

Kazakhstan
In detail:

  • the main activities in the Upstream sector conducted by Eni in Kazakhstan since 1992
  • a focus on Kashagan and Karachaganak fields
  • Eni offices and contacts in Kazakhstan

Upstream

Eni has been present in Kazakhstan since 1992. Eni is co-operator of the Karachaganak field and partner in the North Caspian Sea Production Sharing Agreement (NCSPSA). Developed and undeveloped acreage in Kazakhstan was 6,281 square kilometers (1,543 square kilometers net to Eni).

In 2017, Eni signed a number of strategic cooperation agreements in the upstream and renewable energy sectors in the country.

Eni and KazMunayGas (KMG) signed an agreement, closed in December 2017, for the transfer to Eni the 50% stake for exploration and production activities in the Isatay block located in the Kazakh sector of the Caspian Sea. The Isatay block is estimated to have significant potential oil resources and will be operated by a joint operating company established by KMG and Eni on a 50/50 basis. In addition, Eni and KMG signed an agreement to further expand upstream technology co-operation and evaluate potential joint developments in new projects. The agreement includes technical and managerial training programs for local staff.

 

Eni, KMG and the other partners signed with the Ministry of Energy of the Republic of Kazakhstan, and the Kazakh Committee of Geology and subsoil use, a Memorandum of Understanding to evaluate future cooperation terms in the Kazakh-Russian Pre-Caspian Basin recording certain significant oil discoveries.

In addition, Eni and General Electric (GE) signed with the Minister of Energy of the Republic of Kazakhstan an agreement to promote the development of renewable energy projects in the country.

In particular, Eni and GE will co-operate to evaluate the construction of a wind power plant with approximately 50 MW capacity and further future initiatives.

 
Kashagan

Eni holds a 16.81% interest in the North Caspian Sea Production Sharing Agreement (NCSPSA). The NCSPSA defines terms and conditions for the exploration and development of the giant Kashagan field, which was discovered in the Northern section of the contractual area in the year 2000 over an undeveloped area extending for 4,600 square kilometers. The NCSPSA expires at the end of 2041.

Production

Ramp-up and stabilization of the production level at the Kashagan field progressed. Although gas re-injection started later than initially planned, it has been stepped-up in the course of the year and will allow to achieve the target production capacity of 370 kbbl/d when fully operational. Development activity progressed to increase production capacity up to 450 kbbl/d by installing additional gas compression capacity through the conversion of production wells into injection wells and the upgrading of the existing facilities.

Development

The studies for the improvement of the CC01 gas re-injection project progressed. The project targets to install a new compressor unit to increase an additional gas reinjection capacity to support production ramp-up. Within the agreements with local Authorities, training program progressed for Kazakh resources in the oil&gas sector, in addition to the realization of infrastructures with social purpose.


 
Karachaganak

Located onshore in West Kazakhstan, Karachaganak (Eni’s interest 29.25%) is a liquid and gas giant field. Operations are conducted by the Karachaganak Petroleum Operating consortium (KPO) and are regulated by a PSA. Eni and Shell are co-operators of the venture.

Production

In 2017, production of the Karachaganak field averaged 247 kbbl/d of liquids (54 kbbl/d net to Eni) and 931 mmcf/d of natural gas (209 mmcf/d net to Eni).

This field is developed by producing liquids from the deeper layers of the reservoir. The gas is marketed (about 51%) at the Russian gas plant in Orenburg and the remaining volume is utilized for re-injecting in the higher layers and the production of fuel gas. Approximately 91% of liquid production are stabilized at the Karachaganak Processing Complex (KPC) with a capacity of approximately 250 kbbl/d and exported to Western markets through the Caspian Pipeline Consortium (Eni’s interest 2%) and

the Atyrau-Samara pipeline. The remaining volume of non-stabilized liquid production (approximately 16 kbbl/d) is marketed at the Russian terminal in Orenburg.


Development

Within the gas treatment expansion projects of the Karachaganak field, the detailed engineering development of the Karachaganak Debottlenecking project is expected to be completed shortly and the Final Investment Decision (FID) expected in the second quarter of 2018. Additional re-injection capacity will be ensured by installing a re-injection facility that will be added to the existing ones.

Eni continues its commitment to support local communities in the nearby area of Karachaganak field.

In particular, activities focused on:

  • the professional training;
  • the construction of kindergartens and schools, maintenance of roads and bridges and building of sport centers.

Moreover, following the re-definition of the Sanitary Protection Zone (SPZ) associated to the ongoing development projects and according to the international standards and best practices, a project of relocation of the inhabitants, which started in 2015, from Berezovka and Bestau villages was completed.

Eni continues to conduct monitoring activities on biodiversity and ecosystems in the nearby of the production areas.

Offices & contacts

Upstream 
Agip Caspian Sea B.V. 
Astan Tower 12 
Samal Micro District 19th Floor 
Astana 
473000 
Tel. sede di Amsterdam (0031) 20 5707100 

Agip Karachaganak B.V. 
Kazakhstan Branch 62 
Kosmonavtov Street, 7th Floor Micro District 
Astana 
Tel. sede di Amsterdam (0031) 20 5707101

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