courtesy Sakhalin Energy

Gazprom, Shell, Mitsui and Mitsubishi have started up year-round produciton at the Sakhalin Energy' parntership's Sakhalin II project in the Russian Far East.

Year-round oil exports from a new oil export terminal are made possible by the commissioning of the Trans-Sakhalin pipeline. The oil terminal in Aniva Bay at the south of Sakhalin Island is part of Prigorodnoye port which was built for all-year oil and liquefied natural gas exports.

The first cargo is oil from Molikpaq, Sakhalin Energy’s first platform, but later this month the Piltun-Astokhskoye-B platform will also begin sending oil into the system. Gas condensate from the third platform in the Lunskoye gas field will boost production in the coming weeks.

“This first cargo from Prigorodnoye is a key milestone," a statement trumpeted with construction nearly over.

“Today’s achievement is the result of dedicated work of tens of thousands of people," the statement continued.

Sakhalin Energy has produced over 100 million barrels of crude from the Vityaz field since 1999, but exports by offshore facility were limited to six ice-free months.

The TransSakhalin oil and gas pipeline system connects three offshore platforms in the northeast with the terminal in the south of the Island. Two dedicated tankers will pick up oil just offshore.

Gazprom (50 percent plus one share) heads the production-sharing partnership with Shell (27.5 percent), Mitsui (12.5 percent) and Mitsubishi (10 percent).

Tags: Gazprom, Mitsubishi, Mitsui, Sakhalin Energy, Sakhalin II, Shell