On September 2, just a few days before the celebration of Oilman Day in Russia, Marina Sedykh, Chief Executive Officer of Irkutsk Oil Company, met Sergei Kulygin on the ‘Strategy of Success’ TV show aired on AIST-TV (Irkutsk). Marina Sedykh was asked about various issues, including commissioning of the Russian spur of the Russia-China oil pipeline, re-injection of gas into the formation at the Yarakta field, new job creation, and social and economic cooperation.
Ms. Sedykh emphasized, “ESPO will enable us to pump much more hydrocarbons and, going forward, it will allow us to dramatically increase production of crude and gas condensate.”
The host touched upon the problem of associated gas utilization. Oil companies see no profit in transporting and processing petroleum gas for further use, and for Irkutsk Oil Company it is absolutely impossible due to lack of transport infrastructure and gas consumers. The company has decided to implement a cycling process. Developed in the USA in the 1980s, this technology is used for permanent injection of dry gas into the formation through injection wells. In the formation, dry gas is saturated with condensate, lifting it to the surface through production wells. Condensate is separated from gas at a separation unit, which is part of the gas cycling facility, and sent for treatment. Purified and dried gas is re-injected into the formation. The gas cycling facility (GCF) was commissioned at Yarakta this August.
In the first stage, GCF capacity will be 900,000 cubic meters per day. This technology enables the company to increase recovery of gas condensate from pay zones by 22% and reduce gas flaring. In 2011-2012, Irkutsk Oil Company plans to complete the second start-up complex of the first GCF stage, which will make it possible to gather associated gas and inject it together with the natural gas into the formation. GCF capacity should increase to 3 million cubic meters per day then.
By 2015, the project calls for an increase in gas re-injection of up to 6 million cubic meters per day, and up to 96% of recovered associated gas will be utilized.
Irkutsk Oil Company pays great attention to the environment. In 2009, the company spent some 30 million rubles (around $1 million) on environmental protection initiatives. The company’s Environmental Committee meets every week to discuss all pertinent issues related to environmental protection. By the end of this September, an environmental management system will be set up and by the end of this year it will be integrated with the health and safety system. Irkutsk Oil Company plans to obtain certificates from international organizations by the middle of next year.
Ms. Sedykh said that waste burning heaters have been put into operation at the Markovo and Yarakta fields, operated by Irkutsk Oil Company. The construction of a solid waste dump, where people from the village of Verkhne-Markovo can bring household waste, will be completed next year. Up-to-date sewage water treatment facilities are operated at the Yarakta field.
She also said that over INK’s ten-year history the company has signed several dozen agreements on social and economic cooperation with Irkutsk Region organizations and municipalities. On August 13, 2007, INK signed an agreement on social and economic cooperation with the Irkutsk regional government with a commitment to charity and sponsorship of social programs conducted by the company in the region’s municipalities. There are 19 charitable events in the plan for 2010 with a total sponsorship of 10.6 million rubles (approx. $350 thousand). More than half of the planned events have already taken place.
Ms. Sedykh fielded a number of questions from TV viewers, including queries about prices for oil products and employment at the company. In conclusion, Marina Sedykh extended colleagues her best wishes for Oilman Day.
|Second million ton is produced||Successful start to the first project for gas cycling with condensate production in Russia|