The Khancheyskoye field was discovered in 1990 and is located 65 kilometers to the east of the East-Tarkosalinskoye field. The license for exploration and production of hydrocarbons at the field is valid through 2019 and is held by OOO NOVATEKTarkosaleneftegas. The field began producing natural gas and gas condensate in 2001 and crude oil in 2007. The field is connected to the transportation infrastructure of the East-Tarkosalinskoye field by way of a 70 kilometer natural gas pipeline with diameter of 720 mm which enables the field to transport up to 7.5 bcm per annum.

 

The field has 32 hydrocarbon layers including two dry gas layers, 23 gas condensate layers, five crude oil layers and two gas condensate and crude oil layers. The layers occur at depths of approximately 1,100 meters to 3,200 meters and the overall area of the layers is approximately 113 square kilometers.

 

In November 2009, the Company’s gas condensate de-ethanization units servicing the East-Tarkosalinskoye and Khancheyskoye fields were upgraded resulting in an increase in capacity of approximately 1.8 million tons per annum, or by 10%, and a related increase in the quality of de-ethanized gas condensate produced. The upgrades have also delayed the scheduled maintenance period for the units by one to two years.