New contract was signed with «Yug-Neftegaz Private Limited» aimed at increasing oil production in Turkmenistan

14:48 31.10.2021 5307

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 Within the framework of the XXVI International Conference «Oil and Gas of Turkmenistan-2021», held on October 27-28 in Ashgabat, the State Corporation «Turkmengeology» and the company «Yug-Neftegaz Private Limited» (Singapore) signed a contract for 3D and 2D studies in the eastern part  oil and gas field Goturdepe and in the area of ​​South Burun in the west of Turkmenistan.

 According to experts, the contract is aimed at increasing the geological resources of hydrocarbons and increasing oil production in our country, which, in turn, will expand the opportunities for cooperation in the oil and gas sector with foreign investors.

 The company «Yug-Neftegaz Private Limited» is an old partner of Turkmenistan, successful cooperation with which has lasted for 15 years.

 In 2020, Yug-Neftegaz Private Limited won a tender for the execution of geophysical works for the State Corporation Turkmengeologia on three-dimensional seismic (3D) of the East Goturdepe field, as well as two-dimensional seismic (2D) at the South Burun field.

 In September of this year, the President of Turkmenistan signed a decree allowing Turkmengeology to conclude a contract with the winner of the tender for the implementation of 3D and 2D seismic exploration works in these fields in 2021-2023.

 This is not the first contract between the company and Turkmengeologia.  In previous years, «Yug-Neftegaz Private Limited» performed a set of geophysical works on three-dimensional seismic survey (3D) of the Goturdepe and Barsagelmes fields, as well as two-dimensional seismic survey (2D) in the area of ​​the Darja Peninsula.

 «Yug-Neftegaz Private Limited» began its activity in Turkmenistan in 2007 with a pilot contract with the State Concern «Turkmennebit».  As a result of its implementation, the parties signed a new contract providing for overhaul and increase in the productivity of oil wells at the Turkmenneft fields.  In the period up to 2011, 138 well operations were carried out, which made it possible to additionally produce 270 thousand tons of oil.

 According to the next contract with Turkmenneft, concluded in May 2011, overhaul and work was carried out in the period through 2018 to increase the productivity of oil wells, as well as the restoration of wells in the inactive fund of the concern's fields.

 In November 2018, «Yug-Neftegaz Private Limited» and «Turkmennebit» signed an additional agreement to this contract, which extends its term by 19 years and expands the range of services provided by the company.  It includes the drilling of 60 vertical, directional and horizontal wells with a depth of 4500 – 5500 m in the North Goturdepe field.  As of March 1, 2021, 1,786 well operations were carried out under the contract and more than 2.93 million tons of oil were produced.

 On October 14, 2021, «Yug-Neftegaz Private Limited», together with the State Concern «Turkmennebit», completed drilling and commissioned oil well No. 327 with a depth of 4660 meters at the North Goturdepe field, with an oil flow rate of more than 1000 barrels per day.  Currently, the company continues to drill three more wells in this field, as well as prepare 3 drilling sites to start drilling new wells.

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