Tengizchevroil Eliminates Routine Flaring in Tengiz

Jan 10, 2010

Tengizchevroil (TCO) announces the completion of its four-year, $258 million Gas Utilization Project to eliminate routine gas flaring in Tengiz. The final phase of the project was successfully started up December 26, 2009.


The Gas Utilization Project has enabled Tengizchevroil to successfully support the Republic of Kazakhstan's initiative to eliminate routine gas flaring by the end of 2009. Such investments in environmental protection have enabled TCO to reduce gas flaring rates by 95 percent since the year 2000.


"Thanks to the support of our partners and the Kazakhstani government, TCO has been able to successfully complete our Gas Utilization Project on schedule, while at the same time significantly increasing production with the start-up of the second generation plant and sour gas injection facilities," said Todd Levy, Tengizchevroil General Director. "The Gas Utilization Project demonstrates TCO's commitment to world-class environmental performance and is part of our overall environmental investment program, totaling more than $2 billion since 2000."


Today, TCO's flares are available to safely depressurize the plant if needed and routinely burn only purge and pilot gas necessary for safe operation of the plant. Process gas that was previously flared is now utilized for fuel, sales or is injected into the reservoir for enhanced oil recovery.


"The project has achieved $129 million in Kazakhstani content to date," said Anuarbek Jakiyev, Deputy General Director. "Additionally, nearly 900 local contractor employees worked on the project daily during peak construction. All contracting companies involved in the project have taken safety very seriously, which is demonstrated by the achievement of more than 3.4 million man-hours without a lost time safety incident."


More than 50 percent of the construction work was carried out by Kazakhstani companies, such as NSS and Kazcomservice.


"We are proud to be part of Tengizchevroil's project, the most rewarding thing about our participation on the gas utilization project is the opportunity to contribute to the improvement of environment performance in Tengiz," said Beket Ospanov, NSS Director.


Tengizchevroil is a Kazakhstani partnership that explores, develops, produces and markets crude oil, LPG, dry gas and sulfur. We pride ourselves in conducting our operations in accordance with world-class safety and environmental standards. The Tengiz field in Western Kazakhstan was discovered in 1979 and now is one of the world's deepest producing super giant fields. In April 1993, Tengizchevroil LLP was formed between the Republic of Kazakhstan and Chevron Corporation. Current partners are: Chevron, 50 percent; KazMunaiGas, 20 percent; ExxonMobil, 25 percent and LukArco, 5 percent.