Press releases » Tengizchevroil LLP
Tengizchevroil Fact Sheet. 3Q 2020
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.
- Crude production in 3Q 2020 was 20.16 million metric tonnes (159.08 million barrels).
Health, Safety and the Environment
- TCO has invested over $3.12 billion since 2000 in environmental protection activities.
- Since 2000, total air emissions generated per ton of oil produced, have decreased by 74 percent (reduction from 9 months 2000 to 9 months 2020).
- TCO’s gas utilization rate for 9 months 2020 was 99.3 percent.
- Total TCO water reuse rate by the end of 3Q 2020 was 48 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 35 types of waste for recycling. In 9 months 2020, total TCO waste reuse/recycling rate was 49.83% percent.
Product Sales
- In Q3 2020, TCO sold over 1,355 thousand metric tonnes of LPG, 5.6 billion cubic meters of dry gas and over 1,8 million tonnes of sulfur.
Benefits to Kazakhstan
- From 1993 through 3Q 2020, TCO made direct financial payments of over $151 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.
- In 3Q 2020, direct payments to the Republic of Kazakhstan totaled $5.3 billion.
- In 3Q 2020, TCO spent $2,8 billion on Kazakhstani goods and services, including $1,9 billion for FGP-WPMP.
- TCO has invested more than $35.7 billion on Kazakhstani goods and services since 1993.
Workforce Development
- Kazakhstani citizens hold 82 percent of positions in TCO’s Base Business and FGP-WPMP. Excluding the FGP-WPMP workforce, Kazakhstani citizens hold 90 percent of TCO positions compared to 50 percent in 1993.
- Kazakhstani managers and supervisors represent 73 percent of the TCO managerial workforce in Base Business and FGP-WPMP. Excluding the FGP-WPMP, Kazakhstani managers and supervisors hold 83 percent. 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 $2 billion to fund social projects and programs in Atyrau Oblast for the community and employees.
- In 2020, TCO has budgeted $25 million for the Egilik social infrastructure program, the majority of which will be spent on construction of kindergartens, schools and other social facilities in Atyrau Oblast.
- In 2020, TCO has allocated $2.2 million as part of its Community Investment Program on projects to help improve the quality of health, education and develop social entrepreneurship both in Atyrau and Mangistau Oblasts.
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.
- 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
- Since the commencement of FGP-WPMP, TCO has spent over $10.3 billion to purchase Kazakhstani goods and services.
- TCO has engaged Kazakhstani entities to participate in FGP-WPMP in engineering, procurement and fabrication services and has pre-screened 2,351 Kazakhstani companies and pre-qualified 1,281 companies.
- Approximately 91 percent of the total project workforce are Kazakhstani citizens.
Project Progress
- Like many other companies in Kazakhstan and around the world, Tengizchevroil (TCO) continues to work through challenging circumstances and take prudent measures to protect the health and safety of the workforce and to minimize the impact of COVID-19 on our business.
- TCO is taking actions to safely execute critical path activities to continue advancing the project.
- As of 3Q 2020, fabrication scope in South Korea is complete. All 81 modules sailed from Korea.
- The FGP-WPMP’s last Pre-Assembled Unit was safely delivered to the Tengiz field in Kazakhstan on October 28, 2020. This milestone marks the successful completion of a three-year Sealift campaign involving the marine transportation of 408 large modular cargo items from international locations. As planned, all modules are now on site to enable the FGP-WPMP team to continue with stacking and construction activities at Tengiz.
- Critical path activities are progressing across all Project construction sites. Modules staging is ongoing on Third Generation Plant (3GP) and Third Generation Gas Injection (3GI) site. At 3GP continued pre-stacking activities on priority PAUs in Area 40, preparation for fuel gas system piping. At 3GI baseplates grouting works are in progress, Access platform erection continued.
- The FGP-WPMP is of national importance and is helping to create a legacy of a trained and skilled local workforce, technology transfer through partnerships with international companies, and upgraded infrastructure in the region.