Shah Deniz 2 Ramp Up Progressing
The Shah Deniz phase 2 gas development (SD2) has recently added new wells to the first manifold, connected to Bravo platform, and has reached one-sixth of its eventual 16bn m3/yr plateau production.
Operator BP told NGW Nov.30 that actual production volume had reached 2.7bn m3/yr (7.5mn m3/d). Moreover production from the project, in the Azeri section of the Caspian Sea, is expected to double next month once new wells are added, which should take gas output to one-third of SD2's eventual plateau.
“The second manifold, connecting new four wells to Bravo is to installed next week to double the capacity in 15-20 days,” said BP. (The banner photo above is of Bravo's topsides, courtesy of BP)
SD2 started production this summer; to date 14 wells have been drilled and completed. Although each manifold is connected to four wells, only three wells per manifold are permanently producing gas - due to the very high pressure of the field which is 7000 meters deep. The fourth well at each manifold is in order to regulate future production levels.
The SD2 offshore project includes the Bravo platform, an eventual total of 26 subsea wells, 500km of subsea pipes, and is scheduled to have final plateau production capacity of 16bn m3/yr in 2020. In the first nine months of 2018, Shah Deniz phases 1 and 2 spent more than $418mn in operating expenditure and about $1.14bn in capital expenditure, most of which incurred by SD2, BP said.
The field produced 8bn m3 gas in 9M2018, up 8.1% year-on-year, plus about 1.8mn metric tons of condensate. For the whole year, it is expected to reach 12bn m3, compared to 10.2bn m³ in full year 2017, an official told NGW Oct.22.
Shah Deniz participating interests are: BP (operator with 28.8%), Turkish state upstream producer TPAO(19%), Azerbaijan’state-owned AzSD (10%) and SGC Upstream (6.7%), Malaysian state Petronas (15.5%), Russian independent Lukoil (10%) and Iranian Nico (10%). The latter, a subsidiary of Iranian state producer NIOC, was granted a waiver from newly-imposed US sanctions against Iran in August; the waiver specifically applies to Shah Deniz and its related infrastructure.