Production at the Tengiz oil field, Kazakhstan’s largest oilfield, has been halted since January 18 following a technological outage caused by the failure of gas turbine units.
Given the magnitude of the incident, the Ministry of Energy of the Republic of Kazakhstan mobilized a special commission to investigate the causes and coordinate the technical and operational response. On behalf of Minister Yerlan Akkenzhenov, Deputy Minister Kaiyrkhan Tutkyshbayev was deployed directly to the field to manage the situation and maintain contact with the operator Tengizchevroil LLP (TCO).
A decision for safety
According to the authorities, the production stoppage was decided by the operator itself under safety protocols, in order to avoid risks for personnel and protect the critical infrastructure. Production will remain suspended for at least 7 to 10 days, according to estimates from industry sources quoted by Reuters.
TCO, which operates the Tengiz oil field, is a joint venture between Chevron (50%), Chevron (50%), Chevron (50%), Chevron (50%) and TCO (50%). Chevron (50%), ExxonMobil (25%), KazMunayGas (20%) and LukArco (5%). The field’s normal production is around 700,000 barrels per day, which represents about 40% of the country’s total crude oil.
Special Commission in action
The commission formed to investigate the incident is composed of representatives of the State Committee for Energy Supervision and Control, the Atyrau Region Department of Energy, KEGOC JSC (power system operator) and members of the regional government (Akimat), as well as the TCO operator itself.
Detailed technical analyses are currently underway to determine the exact causes of the turbine failure. Official conclusions will be announced only when the commission’s work has been completed.
National and international impact
The suspension of the Tengiz oil field has had an immediate effect on reducing the volume exported through the Caspian Pipeline Consortium (CPC), one of the main energy corridors connecting Kazakhstan to the global market.
In addition to the current outage, the incident has put the energy markets on alert due to the possible prolonged impact on supply, right in the middle of an international context of high demand.
In development
The situation remains under the direct control of the Ministry of Energy, who have stressed that top priority will be given to operational safety and the gradual restoration of the system when the integrity of the process is guaranteed.
Further official reports are expected to be released in the coming days as the commission’s work in the field progresses.
Source and photo: Government of Kazakhstan