A Journey to Gas Flaring Reduction at Tengizchevroil LLP (TCO)
Authors: Byers Lawrence , Wessel Helen Mary , Kalelova Anargul , Korsyuk Alexey , Tulegenova Gulmira , Subkhankulova Aliya , Zhilkaidarova Ainur 
Published: September 2014

Gas flaring reduction is a hot topic in the Oil & Gas industry. In the paper, we will delineate how TCO achieved its goal by executing projects through commitment, hard work, embracing technology and with cooperation with the partners and local government. Of particular note, we will discuss how TCO demonstrated that flare reduction, gas utilization and increased production can be achieved simultaneously.

As of the end of 2009, TCO eliminated the practice of continuous flaring from its gas processing. Today, the only flaring which occurs in TCO's operations is purge and pilot flaring and some non-continuous flaring for maintenance, repairs and process safety. Over a decade, TCO executed multiple major capital projects to reduce flaring, culminating with the successful execution of its four-year, Gas Utilization Project. TCO's efforts in reducing gas flaring, and in particular its Gas Utilization Project, resulted in recognition of TCO in 2012 the World Bank's Global Gas Flaring Reduction (GGFR) Forum in London in which TCO received "Excellence in Flaring Reduction Award".

TCO continues to make steady strides toward total flaring elimination; for instance, TCO recently completed its new Japanese automation software project. During the first acid gas flaring event in summer 2012, TCO successfully applied the Japanese automation software. It is worth noting that TCO is the first operator in ROK to use this Japanese - developed control software. The journey continues in TCO to see if further improvements can be cost-effectively achieved.

Tengiz Field

The Tengiz field in Western Kazakhstan was discovered in 1979 and now is one of the world's deepest producing super giant fields. Tengiz is located on the 2,500 square kilometer (1,600 square mile) project license area, which includes the super giant Tengiz field, the smaller but sizable Korolev field and several exploratory prospects.

The Tengiz and Korolev fields have potential for an estimated 750 million to 1.1 billion metric tonnes (6 billion to 9 billion barrels) of recoverable oil. Estimated original oil in place in the drilled and un–drilled portions of Tengiz field is about 3 billion metric tonnes (26 billion barrels). At a world class size of 190 million metric tonnes (1.5 billion barrels), Korolev is one–sixth the size of Tengiz. Tengiz oil is characterized as light, sulphurous and low in resin and paraffin.

About Tengizchevroil

Tengizchevroil (TCO) is a major producer and marketer of crude oil in Atyrau Oblast, a region of Western Kazakhstan, where the company has been operating the giant Tengiz and nearby Korolev fields since 1993. In 2008, TCO successfully completed the Sour Gas Injection and Second Generation Plant (SGI-SGP) expansion, which increased daily crude oil production capacity to more than 75,000 tonnes (600,000 barrels). In addition to crude, TCO produces liquefied petroleum gas (LPG), butane, propane and elemental sulfur. The latter is delivered to the market in four forms (liquid, granulated, flaked and blocked).

Established in 1993 as a joint venture between Chevron and the newly independent Republic of Kazakhstan; today, TCO is a partnership between Chevron, 50 percent; KazMunaiGas, 20 percent; ExxonMobil Kazakhstan Ventures Inc, 25 percent; and LukArco B.V., 5 percent.

Since its inception, Tengizchevroil has been committed to the safety, environmental protection and well-being of the communities where it operates. Due to this commitment and corporate social responsibility principles, TCO continues to focus on environmentally-friendly operations, strict adherence to the Republic of Kazakhstan's environmental laws and regulations as well as international practices.