Molikpaq in Russian Far East is underway

Sakhalin Energy Investment Co., the joint venture between Royal Dutch/Shell, Mitsui, and Mitsubishi, reported that hydrocarbon production has begun from its Molikpaq platform in the Sea of Okhotsk, Russian Far East.

Sakhalin Energy Investment Co., the joint venture between Royal Dutch/Shell, Mitsui, and Mitsubishi, reported that hydrocarbon production has begun from its Molikpaq platform in the Sea of Okhotsk, Russian Far East.

This is the fifth production season from the Vityaz complex, offshore Sakhalin. First oil from the complex was in July 1999, and production is limited to the ice-free period during the summer months. The Vityaz complex inlcudes the Molikpaq production platform, a single anchor leg mooring (SALM) buoy, and the Okha floating storage and offloading unit. It is on the Astokh feature of the Piltun Astokhskoye reservoir offshore Sakhalin. The Molikpaq is the first offshore oil production platform in the Russian Federation.

In winter the SALM lies in the bottom of the sea.

Production during the 2002 season amounted to 10.8 MMbbl and was exported to customers in Japan, China, and Korea. Target crude oil production this season is 9.7 MMbbl � about 70,000 b/d. The reduction in volume over previous seasons is due to natural pressure reduction in the reservoir. A pressure maintenance project (PMP) is underway to boost production back up to early output levels of 90,000 b/d using water injection to repressurize the reservoir.

The PMP calls for the installation of new water injection and power generation modules on the Molikpaq this summer, which will cost $300 million. Amur Shipyard in Khomsomolsk built the PMP modules, which represent the first work of their type that has been undertaken by the Russian Far Eastern shipyard. Work on the installation and testing of the PMP facilities is to be complete by the end of the year in time for the 2004 production season.

06/03/03

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