VCNG Commenced Implementation of the Gas Program

It is recognized that the most optimal way of achieving this objective at the current stage of the field development is injection of the gas into temporary underground gas storage (TUGS) in the Osinskiy Horizon.

Implementation of the Gas Program started with construction of surface infrastructure facilities for TUGS. They are integrated in a complex process system centred around the Gas Compressor Station (GCS). The Station is intended for injecting the gas into the subsurface horizon, as well as for delivery of natural fuel to the power centre for generation of electric power. The GCS comprises nearly 20 facilities for treating the gas, metering its quantity, ensuring fire safety. CJSC UK Sibtruboprovodstroy is the general contractor for construction of the Gas Compressor Station.

There are no process centres, which could compete with the GCS under construction in any of East Siberia fields. Equipment fabricated under a special customized order by General Electric will be used for gas re-injection. The capacity of the gas turbine driven compressor is 20 MW. It has three compression stages and is capable of achieving a pressure of up to 270 kgf/cm2. An important advantage of the equipment is its capability to operate in reverse mode. It means that the compressor can be used to bring the gas to surface when required.

The total cost of implementing the Gas Program is 150 million dollars. It is planned to complete construction of surface infrastructure facilities in the second half of 2014. By then, it is required to drill at least nine gas injection wells and connect them by a 40km long pipeline. This is the scheme to supply the gas to a depth of up to 1,500m in the Osinskiy Horizon. The valuable natural resource will be stored until there are conditions in place for its commercial use.