Dragon Oil expands offshore Turkmenistan drilling fleet

Dragon Oil has three drilling rigs operating in the Cheleken Contract Area of the Turkmen sector of the Caspian Sea, with Land Rig 2 expected to start drilling before mid-year.

Offshore staff

DUBAI, UAEDragon Oil has three drilling rigs operating in the Cheleken Contract Area of the Turkmen sector of the Caspian Sea, with Land Rig 2 expected to start drilling before mid-year.

TheCaspian Driller is expected to join the fleet later in 2014.

The water injection pilot project in the Dzheitune (Lam) 75 area is currently injecting around 3,600 b/d of water into the reservoir, with reservoir pressure in the area showing a sustained rising trend.

Dragon has started a tendering process for water injection facilities to be installed at the Dzheitune (Lam) 10 and 13 platforms in order to expand the waterflood program in the Dzheitune (Lam) main field. The overall goal is to maintain pressure, sustain production rates, and increase reserves recovery.

Tendering continues for jet pump systems for up to 14 more wells, all due to be installed from 2H 2014-1Q 2015. The objective is to increaseproduction and enhance recovery.

In February, Dragon awarded a contract for construction and installation of a new wellhead and production platform Dzheitune (Lam) E and associated pipelines. The platform should be completed during the first half of 2016. It will have eight fitted slots with space for another four to be added later, suitable for use by a jackup.

Work will start soon to relocate the Dzhygalybeg (Zhdanov) B platform to the Dzheitune (Lam) field location Lam F. Modifications and subsequent installations are expected to be completed by the end of this year.

The company has started the tendering process for a contractor to lay another 30-in. subsea trunkline from the Dzheitune (Lam) field to the central processing facility. Construction is due to start two years after the contract is awarded.

Recently the company awarded a contract to dredge the harbor area and the Aladja export Jetty on the Turkmen coast. The two-year project is designed to increase offshore vessel handling capacity and to enhance crude oil loading.

Offshore the Philippines, the country’s Department of Energy is concluding approvals forDragon to farm into 40% of Service Contract 63 in the NW Palawan basin from Nido Petroleum Philippines.

The partners plan to start drilling the Baragatan-1 well before mid-year.

04/22/2014

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