OREANDA-NEWS. June 14, 2011. Oil companies of the Republic of Tatarstan produced 2,765,828 tons of crude oil in May, which made 100.5% versus May 2010, while production for 5 months amounted to 13,453,308 tons or 100.3% versus the same period of the previous year.

JSC  TATNEFT produced 2,201,905 tons of crude oil in May (100.4% versus May 2010), while the produced volume amounted to 10,726,786 tons from the beginning of the year accounting for 33.6 thousand tons increase versus 2010 (100.3%) with the above-the-plan production in the amount of 218,287 tons (102.1%). 10,469,471 tons of crude oil were delivered with the above-the-plan delivery amounting to 192,051 tons.

Drilling

Traditional Drilling

The total penetration of new drilling for five months of 2011 amounted to 233.5 thousand meters (281.5 thousand meters in 2010):

- 189.6 thousand meters were drilled for JSC  TATNEFT (239.2 thousand meters in 2010), including 189.3 thousand meters of production drilling and 0.3 thousand meters of exploratory drilling;

- 19.4 thousand meters (7.4 thousand meters in 2010) were drilled for JSC  TATNEFT’s subsidiaries, including 19.1 thousand meters of production drilling and 0.3 thousand meters of exploratory drilling;

- 24.5 thousand meters (34.9 thousand meters in 2010) were drilled for joint ventures and independent oil companies including 17.4 thousand meters of production drilling and 7.1 thousand meters of exploratory drilling.

Totally 156 wells (181 wells in 2010) were constructed and handed over to the customers:

- 113 wells (129 wells in 2010) were delivered to JSC  TATNEFT, including 113 production wells;

- 14 wells (4 wells in 2010) were delivered to TATNEFT’s subsidiaries including 12 production wells and 2 exploratory wells;

- 29 wells (48 wells in 2010) were delivered to joint ventures and independent oil companies including 27 production wells and 2 exploratory wells

Drilling in the Operating Stock

The penetration of sidetracking and horizontal wellbores for five months of 2011 amounted to 17.5 thousand meters (13.5 thousand meters in 2010):

- 10.9 thousand meters (9.4 thousand meters in 2010) were penetrated for JSC  TATNEFT;

- 6.6 thousand meters (4.1 thousand meters in 2010) were penetrated for joint ventures and independent oil companies.

Totally 35 wells (32 wells in 2010) were delivered to the customers:

- 27 wells (21 wells in 2010) were delivered to JSC  TATNEFT;

- 8 wells (11 wells in 2010) were delivered to joint ventures and independent oil companies.

35 drilling crews performed traditional well drilling operations in 2011. 9 drilling crews were engaged in drilling lateral wellbores and lateral horizontal wellbores.

Penetration per one crew in 2011 amounted to 6,763 meters, while in 2010 the penetration per crew amounted to 7,133 meters.

24.6 thousand meters were drilled outside the Republic of Tatarstan. 31.7 thousand meters were penetrated in horizontal wellbores and bottomhole splitters.

Well Repairs

560 well remedial operations were performed in May 2011 with a number of well remedial operations performed during five months amounting to 3,049, which is 496 wells less than in 2010 (3,545 wells during 5 months in 2010).

15 wells have been repaired outside the Republic of Tatarstan since the beginning of the year with 13 wells for LLC  Tatneft-Samara and 2 wells for LLC  Tatneft-Severny.

The workover operations were performed at 1,004 wells during five months of 2011 (206 wells in May), including: production string sealing in 162 wells; shutting-off individual layers and recompletion in other intervals in 104 wells; transfer of wells into different categories and wells completion for injection in 52 wells; failure liquidation and cleaning of the electrical cable and bottom hole areas in 106 wells and physical liquidation and re-liquidation in 15 wells.

309 wells were worked over with application of coil tubing (61 wells in May), including 54 wells worked over through the annulus.

Formation hydrofracking operations were performed in 126 wells (33 wells in May), which is 24% more than for the similar period of 2010 (102 wells for 5 months in 2010). The incremental crude oil recovery volume amounted to 5 million 082 thousand tons.

17 small diameter holes were drilled and completed for JSC  TATNEFT during five months of 2011. At present drilling of one slim hole is on the way for each of the following NGDUs: Almetyevneft, Jalilneft and Yamashneft.

Works on oil recovery enhancement were performed at 841 wells (180 wells in May), including chemical treatment methods applied at 493 wells (105 wells in May). The incremental oil production volume resulting from the application of the enhanced oil recovery methods amounted to 2 million 167 thousand tons of crude oil with the chemical methods accounting for the production of 1,022 thousand tons.

Bottomhole area treatment operations with application of JSC  TATNEFT’s technologies were performed at 1,164 wells during five months.