TNK-BP Wins the Auction to Develop a Gas Field in the Orenburg Region

The exploration and production license for the Chagansky field is issued for twenty years and can be extended for the life of the field. The total number of licenses held by Orenburgneft now amounts to seventy-seven including the regions of Orenburg, Samara, Saratov and Astrakhan.        
“The Chagansky field with its recoverable resources of 2.4 billion m3 of gas will be a natural contribution to the existing asset portfolio of Orenburgneft. It will increase our operational efficiency in the region by providing additional feedstock for the company’s infrastructure and processing facilities”, Sergey Brezitsky, Executive Vice President, Upstream, TNK-BP, said.   
TNK-BP is Russia’s third largest oil company, 50% owned by BP and 50% owned by the AAR Consortium (Alfa Group, Access Industries and Renova). TNK-BP also owns close to 50% of another Russian oil and gas company, Slavneft. TNK-BP accounts for approximately 16% of Russia’s production (including its share of Slavneft). SEC proved reserves (life of field basis) were 8.586 billion boe as of December 31, 2009.
Orenburgneft is one of the main production companies of TNK-BP. The volume of gas traded by Orenburgneft increased by 4.8% in 2009 and amounted to 1.514 billion m3. The replenishment rate of the hydrocarbon resources held by Orenburgneft exceeded 150% in 2009.
Chagansky field is located in the west of the Orenburg region and comprises the Vostochno-Zaykinskoe field, discovered at the end of 1980s as an extension of the Zaykinskoye field.