LUKOIL discovers gas and condensate field in the southern part of Uzbekistan

An exploration well drilled in the mountainous terrain on Shurdarye prospect has encountered gas-saturated carbonate formations of Upper Jurassic age at the depth of more than 3,000 meters. Well testing resulted in the commercial flow rates of up to 650,000 cubic meters of gas and more than 70 tons of gas condensate per day.

Results of well surveys and drilling data interpretation will make a basis for updating the geological model of the Shurdarye field, estimation of its resource base, decision making on continuing exploration of the prospective area and integrating the new field into the field development concept of the South-West Gissar block.

The PSA for the South-West Gissar project was signed in January 2007 for a term of 36 years and came into effect in April, 2007. LUKOIL joined the project in March 2008. The contract area is operated by LUKOIL Uzbekistan Operating Company which employs about 800 people of whom 90% are Uzbekistan nationals.

As of 01.01.2012, proven reserves of the project stand at 1.4 trillion cubic feet of gas and 15 million barrels of oil and gas condensate. In 2010, following 2D and 3D seismic acquisition South-East Kyzylbayrak and Shamoltegmas fields were discovered. In December 2011 production of natural gas began on Dzharkuduk-Yangi-Kyzylcha which is the largest field of the block (previously oil was produced on the block from South Kyzylbayrak and Koshkuduk fields). Next step of the field development will be the startup of a gas processing facility on Dzharkuduk and putting large Adamstash and Gumbulak fields in production.