TCO Future Growth Project

Wellhead Pressure Management Project

Project Overview, Status &
Kazakhstani Content Strategy
Paul Benoit
10 April 2014
Astana, Kazakhstan

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FGP-WPMP
Tengiz expansion consists of two projects executed together:
Future Growth Project (FGP): Expands production by 12 MMTY
Wellhead Pressure Management Project (WPMP): Keeps existing plants full

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Plant Sites
3GP (3rd Generation Plant)

Project Scope

Oil & Gas Processing

Sour Gas Injection

3GI (3rd Generation Injection Plant)

Design Basis

Expanded Oil Capacity:

12 MMTY
(~ 260 MBOPD)

Expanded Gas Capacity:

960 MMSCFD
Pressure Boost Facility
(150% of Solution GOR)
increases well deliverability
benefits both FGP and
Drilling:
193 (125 wells for
existing facilities
FGP+WPMP) new wells

New wells
keep existing plants (KTL,
SGI/SGP) full
fill new (FGP) facilities

Execution:

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Modular Strategy
(1800t by Road, 300t by Rail)

Project Scope
300 MW of Compression for Oil & Gas Processing
140 MW of Compression for Sour Gas Injection
470 MW of Power Generation
~200,000 tonnes of modules
157,000 tonnes freight
30,000 tonnes Piles
~8 MM tonnes of aggregate
~ 12 MM tonnes of sand
19,000 tonnes of cement

~800 km new pipelines

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Module Fabrication
Focus Areas

Maximizing fabrication in Kazakhstan and developing fabrication

capability and capacity in Kazakhstan for FGP and for the future.
Required to form a JV with a Kazakhstan fabricator and implement a
development and investment plan including training personnel, skills
transfer and upgrade of existing yard facilities in Kazakhstan.
Three existing coastal yards in Mangistau region offer sustainable
development opportunity to support both offshore and onshore
development in Kazakhstan and export markets in Caspian.

Mangistau yards offer opportunity for significant upgrade to add capacity

and capability in suitable timeframe for FGP.

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Standard Module
Size Comparison

Khan Shatyr Entertainment Centre Astana

W x L x H dims = 195 x 200 x 150 (top of mast)

Train 1 PBF Compression Module (M006)

W x L x H dims = 16 x 69 x 33.75

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Tengiz Area
Main Project Facilities

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FGP-WPMP New Camp at Tengiz

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Current Status
Important milestones achieved in late 2013:
Tengiz Field Development Plan (Technological Scheme), including

FGP, approved by RoK

Memorandum of Understanding (MOU) signed between TCO and

RoK
TCO Partners approved funding for Early Works (infrastructure)

construction and long-lead equipment procurement

Projects safety focus continues:

5.5 million man-hours worked since last recordable incident
Zero incidents or injuries to date in 2014

Front End Engineering & Design (FEED) 97% complete

Early Works (infrastructure) construction at Tengiz has started
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Current Status
Awarded critical path contracts and purchase orders (PO)
New Camp and TCOV contracts
Aggregate PO
Frame 9 gas turbine generators PO
3GI compressor PO

Module Fabrication Contract

Contract bid evaluation ongoing, with award planned in Q2 2014

Prorva Port
Contract with TenizService under final review
Detail design, TPD, and EIA for marine channel and dock structure

started

Project offices opened in Kazakhstan

Almaty August 2013
Aktau March 2014

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KC Strategy

KC across Goods/Work/Services

Technology transfer to develop

capabilities

Jobs at all levels

Training at craft, supervision &

management level

Nationalisation to allow development of

workforce

Increase capacity and capability of

Suppliers and Fabricators

Legacy
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KC Strategy: The KC Groups Role

Project has a dedicated KC

Group to help project manage KC
activities

The KC Group

Identifies KC opportunities

Provides support in the

realisation of KC
opportunities

Provides consistent and

accurate centralised KC
reporting

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KC Strategy: KC Team Integration

Bidding Process

Execution.

Monitor, report &

advise on KC
Optimisation
(supplier & overall
Project
Performance)

Request for Quotes

Tender Evaluation
Award
(Review of KC
Content and Plans)

Supplier
Engagement
Site Visits
Supplier Visits
Meetings

Qualification
Review and
Evaluate KC
Sections

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Exceptional Benefits for Kazakhstan

TCO forecasts spending approximately $7.8 billion on Kazakhstani

goods and services

Project will produce about 20,000 jobs and a legacy of a trained

workforce

Joint ventures established with world class companies with targets

to improve capacity, capability and technology transfer

Framework agreements to deliver fabrication capacity at

unprecedented levels in terms of module tonnage and complexity

Developing training program to support vocational and

educational qualifications

Developing sustainable capability and capacity for Kazakhstani

suppliers

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