Oil export begins from new Sakhalin terminal

Sakhalin Energy has begun year-round oil export from its new terminal.

Offshore staff

YUZHNO-SAKHALINSK, Russia -- Sakhalin Energy has begun year-round oil export from its new terminal. The terminal is located in Aniva Bay in the south of Sakhalin and forms part of the Prigorodnoye port, which was purpose built for the year-round export of oil and LNG.

The first cargo is oil from Molikpaq, Sakhalin Energy's first platform. Later this month, the Piltun-Astokhskoye-B platform will also begin sending oil into the system. Gas condensate from the third platform in the Lunskoye gas field will further boost production in the coming weeks, the company says.

Sakhalin Energy has produced over 100 MMbbl of the Vityaz crude since 1999. Oil has been exported through an offshore facility, which limited production to about six months of the ice-free season.

Year-round oil production has become possible due to the commissioning of the TransSakhalin oil and gas pipeline system. The system connects three offshore platforms in the northeast with the new terminal and port in Aniva Bay in the south of the Island.

The oil is exported through a tanker loading unit which is installed 4.5 km (2.8 mi) offshore in Aniva Bay and is connected to the export terminal by an undersea pipeline. In the winter of 2008/2009, oil will be delivered to customers by two specialized tankers,Governor Farkhutdinov and Sakhalin Island.

12/16/2008

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