Tag Archive | "West Qurna"

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Lukoil to Increase Output at West Qurna-2

By Patrick M Schmidt.

The Dubai-based division of the Russian oil company, Lukoil announced revise production figures for the West Qurna-2 fields.

The company began production in March 2014 with an output of approximately 120,000 barrels of oil per day. Current production levels are now at 300,000 barrels of oil per day.

It is expected output will reach 400,000 barrels of oil per day by next year.

West Qurna-2 has an estimated 13 billion barrels of oil in reserve and is located approximately forty miles from the city of Basra.

(Source: Gulf News)

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Iraq Approves $278m Halliburton Deal

By John Lee.

The Iraqi cabinet has approved a drilling deal with Halliburton value at $278.5 million (324 billion Iraqi dinars).

Reuters reports that under the 30-month contract, Halliburton will drill 30 oil wells in the 8.7-billion-barrel West Qurna-I field, operated by U.S. major ExxonMobil.

Production at the field is currently running at around 360,000 bpd due to problems with low levels of water injection.

(Source: Reuters)

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Lukoil discusses Investment in Iraq

By John Lee.

Lukoil President Vagit Alekperov has said that his company has invested $6 billion dollars so far on operations in Iraq.

At a meeting with Iraqi Oil Minister Adel Abdul-Mahdi [Adil Abd al-Mahdi] in Baghdad, Alekperov said:

“Lukoil is now working on geological exploration projects with other foreign companies in the 10th exploratory area … I believe the appropriate circumstances were made for investing in Iraq that guarantees the rights of the investors.”

First oil was produced from Lukoil’s West Qurna in March. The company, Russia’s largest private oil company, signed a contract revision in June to build two 75-mile pipelines and associated infrastructure.

(Sources: UPI, Ministry of Oil)

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LUKOIL Recovering Costs From West Qurna-2

The Sea Triumph, an oil carrier chartered by LITASCO (LUKOIL‘s international marketing and trading arm) has departed the port of Basra in Southern Iraq with the first batch of oil as part of the recovery of LUKOIL’s costs from the West Qurna-2 project.

The shipment volume amounts to 1 million barrels of oil. The vessel is headed for the port of Augusta, Sicily. After being unloaded, the oil will be transported to LUKOIL’s ISAB refinery in Priolo for processing.

Production at the West Qurna-2 field currently exceeds 280 thousand barrels per day. The project’s development is on schedule with LUKOIL successfully fulfilling all of its contractual obligations.

(Source: LUKOIL)

(Picture credit: Essam al-Sudani, www.essampxiraq.com)

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LUKOIL Starts Returning Investment on West Qurna-2

A crude carrier chartered by LITASCO (LUKOIL’s international marketing and trading arm) arrived today (Wednesday) in South Iraq’s port of Basra to receive the first batch of oil as part of the recovery of LUKOIL’s costs from phase one (“Early Oil”) of the West Qurna-2 project.

The vessel will spend several days in the port to load one million barrels (about 160 thousand tons) of oil. It is the first crude carrier to transport buy-back oil that belongs to LUKOIL in accordance with the terms of the West Qurna-2 Service Contract.

Meanwhile production at West Qurna-2 has reached a level of 280 thousand barrels per day. The project is continuing according to plan with LUKOIL successfully fulfilling its contractual obligations.

The loading of this crude carrier provides further evidence of the reliable partnership between LUKOIL and the Iraqi side in developing the country’s oil industry,” said Andrey Kuzyaev, Vice President of LUKOIL and President of LUKOIL Overseas.

(Source: LUKOIL)

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Lukoil to Invest $30bn at West Qurna-2

By John Lee.

Ravil Maganov (pictured), who oversees Lukoil‘s exploration and production, has said total investment in the West Qurna-2 field was expected to exceed $30 billion.

At its peak in 2019, he said he expects oil production at the field to hit 1.25 million bpd.

The world’s second-largest undeveloped field, with recoverable oil reserves of around 14 billion barrels, started production in March.

(Source: Reuters)

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LUKOIL Qualifies for Iraq Payment

LUKOIL Overseas (the Operator of LUKOIL’s overseas upstream projects) has informed Iraq’s Ministry of Oil that it has fulfilled its contractual obligations for first commercial production at West Qurna-2.

LUKOIL, the Operator of the West Qurna-2 project, successfully maintained an average daily production of at least 120 thousand barrels for 90 days, entitling it to begin recovering costs and receive remuneration.

Daily oil production at West Qurna-2 is currently above 200 thousand barrels.

Andrey Kuzyaev (pictured), Vice President of LUKOIL and President of LUKOIL Overseas, said:

“The West-Qurna-2 project is developing at a fast pace, and production is going up. As of today, the project has reached another milestone by paving the way for LUKOIL to receive contractual remunerations.

“Timely cost recovery for the Early Oil phase will enable the Operator to proceed to active implementation of the subsequent phases of the field development.

(Source: LUKOIL)

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West Qurna-2 hits 200,000 bpd

By John Lee.

Lukoil boss Vagit Alekperov (pictured) has told journalists that production at the West Qurna-2 oilfield has reached 200,000 bpd, from a starting volume of 120,000 bpd two months ago.

He added:

By the end of the year according to obligations 400,000 will be reached. Today there is no doubt that 400,000 will be reached by December.

(Source: Reuters)

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