Prirazlomnoye (Nenets Autonomous Okrug)

Location

The Prirazlomnoye field is situated in the eastern part of the Pechora Sea, approximately 60 kilometers north of the Nenets Autonomous Okrug (NAD).

Operator and Ownership

The project is operated by Gazprom Dobycha Shelf, a subsidiary of Gazprom, which is the primary stakeholder in the development of this field.

Platform and Infrastructure

The oil production is facilitated by the Prirazlomnaya platform, an ice-protected installation designed to operate in the harsh Arctic environment. The platform has a length and width of 126 meters, an oil storage capacity of 136,000 cubic meters, and a daily production capacity of 19,000 cubic meters. The topside of the platform is based on the “Hutton” platform, previously used in the North Sea and acquired by Sevmorneftegaz in 2002.

Production and Resources

The Prirazlomnoye field holds estimated resources of up to 41 million tons of oil. The annual peak production is anticipated to be around six million tons. The project involves drilling a total of 36 wells by the year 2019, with the platform designed to operate at full capacity year-round.

Environmental and Operational Challenges

The project faces significant environmental and operational challenges. The field is located outside specially protected coastal areas, but there are concerns about the potential for oil spills and the adequacy of measures to mitigate and clean up such incidents. The extreme ice and weather conditions, along with long distances to supply and rescue facilities, add to the logistical complexities and environmental risks.

Construction and Deployment

The Prirazlomnaya platform was constructed at the Sevmash yard in Severodvinsk, northern Russia. After years of construction, the platform was towed to Murmansk for the installation of the final pieces of equipment before being deployed to its destination in the Pechora Sea.

Crew and Operations

The platform is operated by a crew of about 200 men working on two-week shifts. This arrangement is necessary due to the remote and challenging environment of the Arctic.

Economic and Government Support

The project's economics have been supported by government measures. Even without subsidies, the project showed positive economics in 2013, indicating its viability under certain market conditions. However, the project has also benefited from various government support measures, which have altered its economic viability and provided investment incentives.

Logistical Considerations

The water depths in the area of the field are relatively shallow, at about 20 meters, which poses challenges for tanker operations. To address this, Sovcomflot has built two tankers specially designed for the extreme shipping conditions associated with this project.

Overall, the Prirazlomnoye oil project represents a significant milestone in Russia's efforts to develop its Arctic hydrocarbon resources, despite the numerous technical, environmental, and logistical challenges it faces.