December 9, 2021, ATYRAU – Tengizchevroil (TCO) has reached a major milestone in its 28-year history by producing over 500 million tonnes (4 billion barrels) of crude oil since the creation of the joint venture in 1993.
TCO, General Director, Kevin Lyon said: “TCO’s success would not be possible without the unwavering support from the Government of Kazakhstan, our partners, the communities where we work, and our talented and dedicated workforce. The partnership with Kazakhstan is a shining example of the tremendous results that can be achieved together.”
Since inception, TCO has achieved a series of successive production milestones through its consistent focus on safe and reliable operations, ongoing investments in its facilities and the application of the latest technologies for Kazakhstan. In its first year of operations, TCO’s oil production was approximately 1 million tonnes per year. By the end of 2020, annual production had increased to 26.5 million tonnes accounting for approximately 35% of total crude oil production in the Republic of Kazakhstan.
TCO, Deputy General Director, Aibek Krambayev said: “The company’s growth has helped enable Kazakhstan to become a major oil producer and a key player on the global stage. We are grateful to the early pioneers for their hard work and dedication to discover and develop one of the world’s most technically challenging oilfields. They left a strong foundation for future generations in Kazakhstan.”
TCO’s record of performance to-date has helped fuel the country’s economic progress with over $158 billion in direct financial payments made to Kazakhstani entities and $39.3 billion spent on local goods and services. During 28 years of operations, the company has created approximately 310,000 jobs across Kazakhstan. TCO has continuously invested in enhancing local capabilities in drilling, production operations, health and safety, reservoir stimulation, and other skills areas, some of which did not exist in Kazakhstan at the time of the company’s founding.
Since 2000, TCO has invested more than $3 billion to date in environmental protection activities, of which approximately $1.5 billion has been invested in projects to reduce total emissions, including greenhouse gases. Over the same period, total air emissions intensity has decreased by 71 percent, while flaring has decreased by 68 percent since 2017.
TCO’s Future Growth Project-Wellhead Pressure Management Project (FGP-WPMP) expansion will help create a legacy of a trained skilled workforce, new facilities, technology transfer through partnerships between Kazakhstani and international companies, and upgraded infrastructure in the region.
About Tengizchevroil LLP
Tengizchevroil LLP (TCO) is a Kazakhstani partnership that develops, produces and markets crude oil, LPG, dry gas and sulfur. TCO implements new technologies and conducts its operations in accordance with world-class safety and environmental standards. In April 1993, TCO was formed between the Republic of Kazakhstan and Chevron Corporation. Partners are Chevron, 50 percent; KazMunaiGas NC JSC, 20 percent; ExxonMobil Kazakhstan Ventures Inc., 25 percent and LukArco, 5 percent.
The Future Growth Project-Wellhead Pressure Management Project (FGP-WPMP) are two integrated projects implemented by TCO simultaneously. FGP-WPMP, upon completion will allow an increase in Tengiz crude oil production capacity by 12 million tonnes per year to a total of 39 million tonnes per year. While FGP implementation will expand production, WPMP will keep the existing Tengiz plants at full capacity by lowering wellhead pressure and boosting the pressure of the six existing processing trains.