Tengizchevroil (TCO), a joint venture led by Chevron with 50% in partnership with KazMunaiGaz (20%), ExxonMobil (25%) and Lukoil (5%), has decided to proceed with the development of its Future Growth and Wellhead Pressure Management Project (FGP-WPMP), which will increase crude oil production at the Tengiz oil field in Kazakhstan by about 260,000 bbl/d.
TCO is the operator of the giant onshore Tengiz oil field in western Kazakhstan, and aims to raise its production from the current 27 Mt/year to 36 Mt/year by 2022. Total investment for the expansion project is estimated at US$37bn, including US$27.1bn for facilities, US$3.5bn for wells and US$6.2bn for contingency and escalation. The project will raise TCO’s total production to approximately 1 mboe/d. First oil is planned for 2022.
In October 2014 the Energy Ministry of Kazakhstan approved the expansion of the Tengiz field, aimed at maintaining the country's oil output at about 82 Mt/year in 2014 and 2015. In 2014 however, oil production in Kazakhstan dropped by 1.2% to 80.8 Mt; it slipped to 79.5 Mt in 2015 (-1.7%).