Chevron shuts major gas field for three days
A Z M Anas | Sunday, 15 March 2009
The country's gas supply will suffer a jolt later this month when American oil company Chevron halts production in one of its major fields for three days, officials said Saturday.
The second largest US oil company will cut production up to 170 mmcf per day --- or nine per cent of the country's total output --- triggering a daily gas shortage of 370 million cubic feet (mmcf) across Bangladesh during March 26-28.
The Bangladesh affiliate of the company, which accounts for nearly 45 per cent of the country's total output, said production at Jalalabad Gas field will be suspended on technical grounds.
The suspension means the country's gas shortfall will hit a record 20 percent, a Petrobangla official said, drying up energy supply for dozens of power plants and hundreds of industrial units.
State energy corporation Petrobangla can produce nearly 1850 mmcf a day against demand of 2050 mmcf, leaving a supply crunch of 200 mmcf.
Steve Wilson, president of Chevron Bangladesh, said that the production would be suspended for three days to allow commissioning of the newly-built Jalalabad spur line.
"Construction of the spur line has been completed, and to become fully operational the meters need to be relocated from their present position at Kailastila to the Jalalabad gas plant," he told the FE.
The metre will allow Chevron to measure the total amount of natural gas entering both the spur line and the national grid.
He said, "Once the meters are installed and commissioned, the newly-built spur line will facilitate an increase in production from Jalalabad, augmenting the future energy profile of the country."
Chevron, which accounts for nearly 45 per cent of the country's gas output, generates some 700 mmcfd, with its giant Bibiana gas field generating 550 mmcfd alone.
The company is the biggest producer of natural gas among the foreign oil companies operating in Bangladesh.
Mr Wilson said that Bibiyana and Moulvi Bazar fields have the capacity to supply "additional" gas to compensate for the production offset from Jalalabad during the three days.
He, however, did not say how much extra gas to be provided from the two plants.
"We've planned to increase production to ensure that the total supply to Petrobangla remains unaffected," he said.
He noted that the three-day production suspension was designed in a way so it can coincide with a national holiday, followed by the weekend when energy demand falls.
"This will mitigate the impact on the national gas supply."
Officials of Petrobangla and its transmission subsidiary GTCL would visit the field on March 17 and 18 to inspect the preparation.
The second largest US oil company will cut production up to 170 mmcf per day --- or nine per cent of the country's total output --- triggering a daily gas shortage of 370 million cubic feet (mmcf) across Bangladesh during March 26-28.
The Bangladesh affiliate of the company, which accounts for nearly 45 per cent of the country's total output, said production at Jalalabad Gas field will be suspended on technical grounds.
The suspension means the country's gas shortfall will hit a record 20 percent, a Petrobangla official said, drying up energy supply for dozens of power plants and hundreds of industrial units.
State energy corporation Petrobangla can produce nearly 1850 mmcf a day against demand of 2050 mmcf, leaving a supply crunch of 200 mmcf.
Steve Wilson, president of Chevron Bangladesh, said that the production would be suspended for three days to allow commissioning of the newly-built Jalalabad spur line.
"Construction of the spur line has been completed, and to become fully operational the meters need to be relocated from their present position at Kailastila to the Jalalabad gas plant," he told the FE.
The metre will allow Chevron to measure the total amount of natural gas entering both the spur line and the national grid.
He said, "Once the meters are installed and commissioned, the newly-built spur line will facilitate an increase in production from Jalalabad, augmenting the future energy profile of the country."
Chevron, which accounts for nearly 45 per cent of the country's gas output, generates some 700 mmcfd, with its giant Bibiana gas field generating 550 mmcfd alone.
The company is the biggest producer of natural gas among the foreign oil companies operating in Bangladesh.
Mr Wilson said that Bibiyana and Moulvi Bazar fields have the capacity to supply "additional" gas to compensate for the production offset from Jalalabad during the three days.
He, however, did not say how much extra gas to be provided from the two plants.
"We've planned to increase production to ensure that the total supply to Petrobangla remains unaffected," he said.
He noted that the three-day production suspension was designed in a way so it can coincide with a national holiday, followed by the weekend when energy demand falls.
"This will mitigate the impact on the national gas supply."
Officials of Petrobangla and its transmission subsidiary GTCL would visit the field on March 17 and 18 to inspect the preparation.