KBR Hired As Consultant By Kazakh Oil Producer
U.S. engineering services company KBR said it secured a contract for conceptual studies for oil field basins located in the Kazakh waters of the Caspian Sea.
The North Caspian Operating Company, working on behalf of a consortium of producers, secured KBR’s services for conceptual studies and engineering work for offshore basins, including the giant Kashagan oil field.
“Our Caspian team is excited to provide fresh and cost effective ideas to NCOC with a commitment of maximizing local content,” Jay Ibrahim, KBR’s regional president, said in a statement.
Production at Kashagan, which holds an estimated 16 billion barrels of oil, was halted in October 2013, less than a month after it started, when a pipeline associated with the field cracked open. Operations resumed in September and by October the NCOC said the first batch of crude oil from the field was being processed and destined for exports.
Production from Kashagan is holding steady at 160,000 barrels per day and production would accelerate to 180,000 barrels per day in the coming months.
Kazakhstan is among the oil producers outside the Organization of Petroleum Exporting Countries that’s committed to a supply-side adjustment aimed at easing the glut of oil on the market that dragged crude oil prices lower last year
OPEC economists said in their report for February that crude oil production in Kazakhstan averaged 1.43 million barrels per day, an increase of 10,000 barrels per day. Output could decline in some regions, but Kashagan production is expected to increase steadily throughout the year.
The government in Kazakhstan estimated that total crude oil output could gain substantial ground by the end of the decade thanks in part to an expansion program planned for the Tengiz field, positioned in the wetlands along the shores of the Caspian Sea.
KBR, Inc. (formerly Kellogg Brown & Root) is an American engineering, procurement, and construction company, formerly a subsidiary of Halliburton. KBR is a global provider of differentiated professional services and technologies across the asset and program life cycle within the Government Services and Hydrocarbons sectors. KBR employs over 37,000 people worldwide, with customers in more than 80 countries, and operations in 40 countries, across three synergistic global businesses:
Government Services, serving government customers globally, including capabilities that cover the full life-cycle of defense, space, aviation and other government programs and missions from research and development, through systems engineering, test and evaluation, program management, to operations, maintenance, and field logistics
Technology & Consulting, including proprietary technology focused on the monetization of hydrocarbons (especially natural gas and natural gas liquids) in ethylene and petrochemicals; ammonia, nitric acid and fertilizers; oil refining; gasification; oil and gas consulting; integrity management; naval architecture and proprietary hulls; and downstream consulting
Engineering & Construction, including onshore oil and gas; LNG (liquefaction and regasification)/GTL; oil refining; petrochemicals; chemicals; fertilizers; differentiated EPC; maintenance services (Brown & Root Industrial Services); offshore oil and gas (shallow-water, deep-water, subsea); floating solutions (FPU, FPSO, FLNG & FSRU); and program management