Crippled Kashagan oil project a bureaucratic 'nightmare'  

Posted by Big Gav in

I was over in Perth late last year and it was interesting to see how the end of the mining (construction) boom is impacting on the locals. The engineering types are in austerity mode while the technology folk are much less affected - with a new focus on "efficiency' projects to try and squeeze more value from the massive investments made over the past decade.

Oil and gas services work has dried up to the point where one friend was forced to start looking at opportunities offshore (after following his once 120 person team into redundancy). He noted that the pay available elsewhere is far less than most Perth engineers have become accustomed too, and was considering heading to Kazahkstan for his next job.

Kashagan remains one of the larger projects underway worldwide - Reuters report that it's not progressing all that well - Crippled Kashagan oil project a bureaucratic 'nightmare'.

Giant Kazakh oilfield Kashagan, which was brought to a halt by leaks shortly after start-up last year, is grappling with a bureaucratic "nightmare" on top of its engineering troubles as it strives for commercial production in 2014.

The scale and complexity of the world's most expensive standalone oil project led its seven partners away from the traditional single operator command-and-control model, where one of the larger companies takes charge while the others provide support and share the risks, costs and rewards. ...

The Caspian Sea project aims to exploit the biggest oil discovery in decades, producing a peak of 1.66 million barrels a day - as much oil as OPEC member Angola, from a reserve almost as big as Brazil's. Much of it is built on artificial islands to avoid damage from pack ice in a shallow sea that freezes for five months a year in temperatures that drop below minus 30 degrees Celsius (-22F).

The field extends over 3,375 square kilometres (1,303 sq miles), and the whole onshore and offshore site is bigger still. The oil is 4,200 metres (4,590 yards) below the seabed, at very high pressure, and the associated gas reaching the surface is mixed with some of the highest concentrations of toxic, metal-eating hydrogen sulphide (H2S) ever encountered.

Kashagan has cost an estimated $50 billion so far, five times early projections, and its 13-year life is a tale mostly of delay.

0 comments

Post a Comment

Statistics

Locations of visitors to this page

blogspot visitor
Stat Counter

Total Pageviews

Ads

Books

Followers

Blog Archive

Labels

australia (604) global warming (381) solar power (365) peak oil (335) renewable energy (228) electric vehicles (210) wind power (181) ocean energy (160) csp (153) geothermal energy (143) solar thermal power (140) smart grids (139) tidal power (135) coal seam gas (129) nuclear power (125) oil (123) energy storage (122) solar pv (119) lng (114) geothermal power (112) china (111) iraq (111) green buildings (107) natural gas (106) agriculture (87) oil price (79) biofuel (77) smart meters (72) wave power (70) electricity grid (66) uk (66) energy efficiency (63) coal (57) google (57) internet (51) bicycle (49) shale gas (49) surveillance (49) food prices (48) big brother (47) thin film solar (42) canada (40) biomimicry (39) scotland (38) ocean power (37) politics (37) new zealand (35) shale oil (35) air transport (34) algae (34) water (34) concentrating solar power (32) queensland (32) california (31) credit crunch (31) saudi arabia (31) bioplastic (30) offshore wind power (29) population (29) tesla (29) cogeneration (28) geoengineering (28) arctic ice (26) batteries (26) drought (26) resource wars (26) woodside (26) bruce sterling (25) censorship (25) cleantech (25) ctl (23) economics (22) limits to growth (21) carbon tax (20) coal to liquids (20) distributed manufacturing (20) indonesia (20) iraq oil law (20) lithium (20) origin energy (20) brightsource (19) buckminster fuller (19) rail transport (19) ultracapacitor (19) santos (18) ausra (17) exxon (17) michael klare (17) cellulosic ethanol (16) collapse (16) electric bikes (16) mapping (16) ucg (16) atlantis (15) bees (15) concentrating solar thermal power (15) ethanol (15) geodynamics (15) iceland (15) psychology (15) brazil (14) fertiliser (14) lithium ion batteries (14) al gore (13) ambient energy (13) biodiesel (13) bucky fuller (13) carbon emissions (13) cities (13) investment (13) kenya (13) matthew simmons (13) public transport (13) biochar (12) chile (12) internet of things (12) otec (12) texas (12) victoria (12) cradle to cradle (11) desertec (11) energy policy (11) hybrid car (11) terra preta (11) amory lovins (10) fabber (10) gazprom (10) goldman sachs (10) gtl (10) severn estuary (10) tinfoil (10) toyota (10) volt (10) afghanistan (9) alaska (9) biomass (9) carbon trading (9) distributed generation (9) esolar (9) four day week (9) fuel cells (9) jeremy leggett (9) pge (9) sweden (9) antarctica (8) arrow energy (8) big oil (8) eroei (8) fish (8) floating offshore wind power (8) guerilla gardening (8) linc energy (8) methane (8) methane hydrates (8) nanosolar (8) natural gas pipelines (8) pentland firth (8) relocalisation (8) saul griffith (8) stirling engine (8) us elections (8) western australia (8) airborne wind turbines (7) bloom energy (7) boeing (7) bolivia (7) chp (7) climategate (7) copenhagen (7) vinod khosla (7) apocaphilia (6) ceramic fuel cells (6) cigs (6) futurism (6) jatropha (6) local currencies (6) nigeria (6) ocean acidification (6) scenario planning (6) somalia (6) t boone pickens (6) space based solar power (5) varanus island (5) garbage (4) global energy grid (4) kevin kelly (4) low temperature geothermal power (4) oled (4) tim flannery (4) v2g (4) club of rome (3) norman borlaug (2) peak oil portfolio (1)