31 Oct 2022 10:11

Gazprom launching new production, transport capacity on export route to China

MOSCOW. Oct 31 (Interfax) - Gazprom reported the launch of new production, transport and processing capacity as part of the Power of Siberia export route to China in the latest progress report on the implementation of its largest investment projects.

Russia began exporting gas to China through the Power of Siberia pipeline in 2019 from the Chayanda field in Yakutia. The Kovykta field in Irkutsk Region will begin contributing to these exports in the next few months.

Exports are supposed to increase to 38 billion cubic meters per year over the first five years. Gazprom exported 10.39 bcm to China through this pipeline in 2021, 390 mcm more than the contracted amount. It plans to increase exports to 15 bcm this year and to 22 billion cubic meters in 2023.

The gas giant said it is on schedule in preparing the Kovykta field and Kovykta-Chayanda section of the Power of Siberia pipeline for launch. Load commissioning began on October 25 of a key priority facility at the field, the UKPG-2 gas treatment plant, and the Kovykta-Chayanda section of pipeline. Process systems and equipment will be tested in working and maximum operating conditions.

The next step is to put the Kovykta field and Kovykta-Chayanda section into operation in December 2022. This will give a major additional push to the even more effective development of eastern regions of Russia and to increasing the country's export potential, Gazprom said.

The company is also continuing to build field infrastructure at Kovykta to subsequently bring it up to full design capacity. It is expanding the stock of gas production wells. Foundations have been laid and metalwork is being installed at the site of the third gas treatment plant (UKPG-3). Construction of a condensate pipeline to take stable condensate from UKPG-2 to the railway terminal in the town of Okunaisky and construction of the terminal itself are near completion.

At the Chayanda field in Yakutia, the company is doing production drilling and plans to launch new gas wells before the end of the year. Construction is wrapping up on the second and final compressor division of the Central Booster Pump Station. It currently provides sufficient pressure to feed Chayanda gas into the existing Power of Siberia pipeline, from the field to the border with China. Expanding the station's capacity will make it possible to receive gas from Kovykta and transport it onward, Gazprom said.

The company is also gradually expanding the pipeline's throughput capacity on the section from the Chayanda field to the Chinese border. Construction of four new compressor stations is near completion.

A key facility in the gas supply chain to China along Power of Siberia is the Amur Gas Processing Plant (Amur GPP), and it is 87% complete. Pre-commissioning work is underway on the plant's third processing line and the second helium stripping, liquefaction and packaging facility.

As part of the development of the Sakhalin gas production center, the company is continuing work on expanding the capacity of the Sakhalin-Khabarovsk-Vladivostok gas pipeline and adding equipment at the onshore process complex of the Kirinskoye field.

On the Yamal Peninsula, Gazprom is developing a key gas production center for the country. Construction of production wells and booster pump stations is continuing at Bovanenkovskoye, the core field of this center. Next in line is the launch of the second key field, Kharasaveiskoye. Construction of its field infrastructure is in the active phase, with the company building a gas treatment plant, booster pump station, production wells and a gas pipeline to Bovanenkovskoye.

Gazprom is also continuing to carry out projects in Northwest Russia. A complex to produce, store and ship liquefied natural gas (LNG) near the Portovaya pump station with capacity of 1.5 million tonnes of LNG per year began producing commercial product in September.