Project Profile
Location: Chayvo, Odoptu, and Arkutun Dagi fields, northeastern coast of Sakhalin Island, Russian Far East
Production: 250,000 barrels (33,000 tonnes) per day (phase 1)
Chayvo Onshore Processing Facility (OPF capacity): 34,000 metric tonnes (250,000 barrels) of oil and 22.4 million cubic metres (800 million cubic feet) of gas per day
Pipeline length: 226 kilometres (140 miles)
De-Kastri Terminal: 2 x 100,000 cubic meters (650,000 barrel)
Sakhalin-1\'s Chayvo, Odoptu, and Arkutun Dagi fields, located off the northeastern coast of Sakhalin Island in the Russian Far East, are being developed using a phased approach. Operations and facilities are located on both the island and mainland Russia. Exxon Neftegas Limited, an affiliate of ExxonMobil Corporation, is operator of the Sakhalin-1 Project. The project is being implemented by an international consortium comprised of Rosneft acting via its affiliates RN-Astra (8.5%) and Sakhalinmorneftegas-Shelf (11.5%), SODECO (30%), ONGC Videsh Ltd. (20%) and ExxonMobil (30%). The Sakhalin-1 Project is being executed in phases.
The first phase developed the Chayvo field over a five year span. Initial oil and natural gas production from Chayvo started ahead of schedule in October 2005 using interim production facilities. With the startup of the project’s De-Kastri oil export facility in September 2006 and Onshore Production Facility (OPF) in October 2006, the project reached targeted peak oil production rates of 250,000 barrels (33,000 tonnes) per day in February 2007. Drilling operations at the Odoptu field, which highlight the start of the next phase of the Sakhalin-1 Project, began in May 2009. The field was put into production in September 2010. Future project phases call for the development of the Arkutun-Dagi field as well as expanded gas production and sales from the Chayvo field. These later project developments are expected to sustain production until 2050.
Chayvo field – Phase 1
The Chayvo field was initially developed using both onshore (Yastreb) and offshore (Orlan) drilling facilities. While the Orlan platform has been in continuous operation there, the Yastreb drilling rig was dismantled and moved to the Odoptu field in July 2008. After successfully completing the Odoptu First Stage Production drilling program in February 2011, the Yastreb is currently being relocated back to Chayvo to resume development of the field. The Yastreb rig was engineered exclusively for Sakhalin-1 and is one of the most powerful land rigs in the industry. It is designed to drill extended reach wells to offshore targets from land-based locations. The initial drilling program at Chayvo was completed in 2008 with a total of 20 ERD wells drilled, setting world records in depth, horizontal reach and drilling speed. The Yastreb was then dismantled, modified and transported to the Odotpu field where it was utilised in yet another world record setting drilling program from May 2009 to February 2011. In March 2011, workers began once again dismantling and transporting the Yastreb rig back to the Chayvo field where it is scheduled to resume drilling operations in early 2012.
Oil and gas produced from the Sakhalin-1 fields is transported to the Chayvo Onshore Processing Facility (OPF), which stabilises oil for shipment to the international market and gas for supply to the Russian domestic market or reinjection to the field to maintain reservoir pressure. The OPF\'s capacity is approximately 34,000 metric tonnes (250,000 barrels) of oil and 22.4 million cubic metres (800 million cubic feet) of gas per day.
Sakhalin-1\'s oil transportation system was commissioned in August 2006. Construction was completed on a 226 kilometres (140 mile) pipeline to transport crude from the onshore processing facility across Sakhalin Island and the Tatar Strait to the De-Kastri Terminal in Russia\'s Khabarovsk Krai. Tanker loading operations began at De-Kastri in September 2006. The De-Kastri Terminal includes two 100,000 cubic metres (650,000 barrel) capacity storage tanks to hold the Sakhalin-1 crude oil prior to tanker transfer and shipment. Then the crude is transported via a subsea loading line to the single point mooring facility, which is located 5.7 kilometres east of the Klykov Peninsula in Chikhacheva Bay. A dedicated fleet of double-hulled Aframax-class tankers carrying up to 100,000 tonnes (720,000 barrels) of crude is used for export of crude oil from the De-Kastri Terminal to world markets.
Chayvo field - Phase 2
Future project plans call for the expanded development of Chayvo natural gas resources that are not associated with current oil production. These development plans will require the drilling of additional gas wells and the expansion of existing onshore and offshore facilities. This project would allow for expanded gas sales to domestic and export markets.
Odoptu field
Drilling operations at the Odoptu field, located 75 kilometres north of the Chayvo field, were successfully undertaken from May 2009 through February 2011 utilising the onshore Yastreb rig. The record setting Odoptu drilling program included completion of the world\'s longest extended reach well, the OP-11, at 12,345 metres total measured depth. Production start-up at the Odoptu field began in September 2010, bringing more job opportunities for Russian nationals and increases the volume of the state’s share of oil and gas produced by Sakhalin-1. A flowline transports the Odoptu field\'s oil and gas to the Chayvo Onshore Processing Facility, from which oil is sent to the De-Kastri Terminal for tanker shipment to the international market and gas is stabilised for either domestic supply or reinjection into the field to maintain reservoir pressure.
Arkutun-Dagi field
As with Sakhalin-1\'s Chayvo and Odoptu fields, development of the Arkutun-Dagi field will be carried out in phases; the first of which is planned to commence in the northernmost portion of the field in 2014. The Arkutun-Dagi development will employ an offshore, ice-resistant fixed platform which is expected to become the largest oil and gas production platform in Russia. This gravity-based structure has been named Berkut - from the Russian for golden eagle. The Berkut platform will become the first ExxonMobil operated platform with friction pendulum bearing isolators to make it more seismically stable. Its topsides will be among the largest in the industry, weighing about 28,000 tonnes. The Arkutun-Dagi field development will help maintain Sakhalin-1 production as the Chayvo field production naturally declines. First oil is expected to be produced there in 2014.
Operators:
Exxon Neftegas Limited (ExxonMobil Corporation): Operator with 30% interest
Rosneft (RN-Astra with 8.5% & Sakhalinmorneftegas-Shelf with 11.5%): 20% interest
SODECO: 30% interest
ONGC Videsh Ltd.: 20% interest
Pertamina: 20% interest in Chayvo field (MoU with Rosneft)
Contractors:
Kentz Corporation Limited: Shutdown services and operations support contract
Zetron: TETRA technology enabling coordination of safety and operational communications
WorleyParsons: Work orders to cover further engineering and procurement for the Sakhalin-1 Arkutun-Dagi Topsides by ExxonMobil affiliate, Exxon Neftegas Limited (ENL). The scope of work under these work orders includes engineering, project management, and procurement for the Arkutun-Dagi offshore platform topsides. Revenue received for services provided under these work orders will be approximately US$500 million
Fugro: Contract to deliver structural monitoring system for Exxon Neftegas Ltd., as operator of the Sakhalin-1 Consortium, to monitor the structural integrity of its Berkut oil platform in the Arkutun Dagi field. Fugro was commissioned to provide an integrated system to monitor both the seismic response of the platform and the performance of the FPB’s. The bespoke solution also had to satisfy the Russian GOST and GOST-Ex certification requirements and withstand the extreme environmental conditions. Fugro configured the equipment at its Glasgow offices. The factory acceptance test (FAT) was witnessed by WorleyParsons, the lead contractor for the project, before the equipment was shipped to the oil platform for installation.
Heerema Marine: Contract for the transportation and installation of the Arkutun-Dagi topsides
BMT ARGOSS: Contract to provide weather forecasting services to support operations in the Sakhalin region offshore eastern Russia. Under the long-term contract an 18-strong BMT team will issue weather, wave and current forecasts and tidal information to assist offshore drilling operations. BMT will deliver twice-daily updates on weather and wave conditions and a once- daily update on current and tides, in a format easy to use and tailored to Sakhalin Energy’s requirements. (March 2016)
Subcontractors:
SAGA: Provider of wireless communication equipment for the TETRA technology
TL Offshore Sdn Bhd (subsidairy of Kencana Petroleum): Charter-party agreement with Heerema Marine Contractors Nederland SE to supply a command installation vessel, the SK1200, for the Arkutun-Dagi Project in Sakhalin, Russia. Exxon Neftegas Ltd had awarded a contract to Heerema Marine for the transportation and installation of the Arkutun-Dagi topsides, and the latter, in turn, gave TL Offshore a job to transport Exxon’s temporary living quarters. The charter has a firm period of 55 days, with an option of 15 daily extensions.