Press releases » Tengizchevroil LLP
Tengizchevroil Fact Sheet
3Q 2019
History and Ownership
- Tengiz, the world’s deepest producing super giant oil field, was discovered in 1979.
- The Tengizchevroil (TCO) partnership was formed on April 6, 1993, between the Republic of Kazakhstan and Chevron.
- Current partners are Chevron, 50 percent; KazMunayGas, 20 percent; ExxonMobil Kazakhstan Ventures Inc., 25 percent; LukArco B.V., 5 percent.
Production and Reserves
- Estimated oil in place in the Tengiz field is 3.2 billion metric tonnes (25.5 billion barrels) with 200 million metric tonnes (1.6 billion barrels) in the Korolev field.
- Total recoverable crude oil in the Tengiz and Korolev fields is estimated to be 890 million to 1.37 billion metric tonnes (7.1 to 10.9 billion barrels).
- The areal extent of the Tengiz reservoir is large, measuring 20 kilometers (12 miles) by 21 kilometers (13 miles).
- TCO completed its Sour Gas Injection and Second-Generation Plant (SGI/SGP) expansion project in 2008, which brought daily production capacity to approximately 75,000 metric tonnes per day (600,000 barrels) of crude oil and 22 million cubic meters per day (750 mmscf) of natural gas.
- As of 3Q 2019, crude production was 21.97 million metric tonnes (175.3 million barrels).
Health, Safety and the Environment
- TCO has invested $3.1 billion since 2000 in environmental protection activities.
- Since 2000 total air emissions generated per ton of oil produced have decreased by 74 percent.
- TCO’s gas utilization rate as of 3Q 2019 was 98 percent.
- Total TCO water reuse rate for the first three quarters of 2019 was 30 percent. TCO continues its water conservation efforts by recycling domestic wastewater effluent, as well as treating and reusing it for industrial purposes.
- TCO sends more than 25 types of waste for recycling. As of 3Q 2019, total TCO waste reuse/recycling rate was 68.42 percent.
Product Sales
In January – September 2019, TCO sold over 984 thousand metric tonnes of LPG, 5.8 billion cubic meters of sales gas and over 1.92 million tonnes of sulfur.
Benefits to Kazakhstan
- From 1993 through 3Q 2019, TCO made direct financial payments of over $143 billion to Kazakhstani entities, including Kazakhstani employees’ salaries, purchases of Kazakhstani goods and services, tariffs and fees paid to state-owned companies, profit distributions to Kazakhstani shareholder and taxes and royalties paid to the government.
- For the first three quarters of 2019, direct payments to the Republic of Kazakhstan totaled more than $7.7 billion.
- As of 3Q 2019, TCO spent $3.4 billion on Kazakhstani goods and services, including $2.4 billion for FGP-WPMP.
- TCO has invested more than $31.7 billion on Kazakhstani goods and services since 1993.
Workforce Development
- Kazakhstani citizens hold 81 percent of positions in TCO’s Base Business and FGP-WPMP. Excluding the FGP-WPMP workforce, Kazakhstani citizens hold 88.8 percent of TCO positions compared to 50 percent in 1993.
- Kazakhstani managers and supervisors represent 73.1 percent of the TCO managerial workforce. Ongoing training and development programs exist to support the advancement of employees to positions of increasing responsibility.
Community Outreach
- Since 1993, TCO has invested over $1.8 billion to fund social projects and programs in the Atyrau Oblast for the community and employees.
- In 2019, TCO has budgeted $25 million for Egilik social infrastructure program, the majority of which will be spent for construction of kindergartens, schools and other social facilities in Atyrau Oblast.
- In 2019, TCO’s Community Investment Program has over $1 million in projects planned to help improve the quality of health, education and develop social entrepreneurship in Atyrau Oblast.
Future Growth Project - Wellhead Pressure Management Project
General Information
- In 2016, TCO Partners announced approval for the final investment decision of the Future Growth Project - Wellhead Pressure Management Project (FGP-WPMP), the next major expansion of the Tengiz oil field.
- Based on TCO’s highly-successful SGI/SGP expansion project, FGP will expand production by approximately 12 million tonnes per year/260,000 barrels per day to about 39 million tonnes per year/850,000 barrels per day.
- WPMP will keep the existing Tengiz plants full by lowering the flowing pressure at the wellhead and then boosting the pressure to the inlet requirements of the six existing processing trains.
Kazakhstani Content
- More than 48,000 Kazakhstanis working on FGP-WPMP in country, which is 91 percent of the total project workforce in Kazakhstan.
- TCO has engaged Kazakhstani entities to participate in FGP-WPMP in engineering, procurement and fabrication services and has pre-screened over 2,200 Kazakhstani companies and pre-qualified more than 1,200 companies. FGP-WPMP KC Spend since project start totaled $7.7 billion.
Project Progress Worldwide
- The project is more than 70% complete.
- Engineering progress is more than 93% percent complete.
- The main FGP-WPMP equipment is being fabricated in Kazakhstan, South Korea and Italy, and preassembled into modules for transportation to Tengiz for final installation and assembly.
- By end of September fabrication yard in ERSAI achieved sail away of 74 pre-assembled pipe-racks (PARs)
- All 5 Gas Turbine Generators successfully sailed away from Avenza fabrication yard in Italy. Departures of ship loose items from Avenza continue.
- Fabrication of pre-assembled units continues in South Korea. 48 modules sailed away from Korea through September 2019.
Project Progress in Tengiz
- In Tengiz, provision of critical services continues by Tengiz General Services Team. Installed 3GP and 3GI 25 Kv substations on foundation pillars.
- Construction of Integrated Operations Control Center (IOCC) is progressing.
- Control and Power: Core Substation energized with 110 Kv, commissioning testing and energization continuing after power flow on September 30th. During the second half of September, shipped first two Remote Instrument Enclosures from KCOI Fabrication Yard in Mangystau Oblast.
- Gathering system is progressing towards High Pressure Early Oil.
- Mechanical, electrical and instrumentation works continue at 3GP with PARs and PAUs installation progressing.
- Completed Area 45 substation installation and Train 1 Flare erection. PARs installation continues.