New Modules Installed on Molikpaq

Sakhalin Energy reported that it has successfully completed the installation of the Molikpaq Tie-In (MTI) modules.

As part of the construction and installation program of July, two intricate modules--each the size of a 10-story apartment block--were successfully lifted into position on the space-constrained deck using the Castoro 8, a mobile crane barge. In addition a new multi-million-dollar crane assembled locally in Kholmsk was also installed successfully.

David Greer, Sakhalin II project director, referred to the Molikpaq Tie-In installation as “representative of engineering at its finest.” He congratulated the team involved in the installation on “getting the job done professionally and efficiently.”

The Molikpaq platform, which is the heart of the Vityaz Production Complex, is located in Astokh Feature of Piltun-Astokhskoye oil field, 17 kilometers offshore northeastern Sakhalin Island. Currently, because of the challenging ice conditions in the Okhotsk Sea, the platform is producing some 6 months a year during the ice-free season.

Sakhalin Energy commenced the commercial development of Piltun-Astokhskoye field in 1999. In seven work seasons since the 1999 first oil, Molikpaq has produced more than 70 million barrels of oil. The new modules will be part of the connection between the platform and the new onshore and offshore oil and gas pipelines, which are currently under construction. This will allow year-round production of oil and gas from the Molikpaq.

First year-round production from the Molikpaq is expected in 2007.

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