Sakhalin 2 Overview

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The Sakhalin 2 project was the first PSA to be signed in Russia and represents one of the largest single foreign investments into Russia.

The project involves two fields, the Piltun-Astokhskoye, primarily an oil field with associated gas, and Lunskoye, predominantly a gas field with associated condensate and an oil rim. The fields are approximately 15km off the north-east coast of Sakhalin in waters that are frozen for six months of the year.

The Phase 2 of the development involves the installation of an offshore platform on the Piltun Astoskhskoye field and the installation of a single, large platform at the Lunskoye gas field. These platforms, as well as the Molikpaq, will be linked to the shore by offshore pipelines. The oil and gas will then be transported via the 800km onshore pipelines to Prigorodnoye, in the south of Sakhalin Island, the site of the new Liquefied Natural Gas (LNG) plant and associated export terminals.

The first project that we were involved with on the Sakhalin 2 development was a contract to supply and install trace heating on the OPF, which enabled the installation of concrete piles during the winter.

In early 2004, we were awarded the procurement, construction, pre-commissioning and commissioning of the electrical and instrumentation services for the LNG plant and the export terminals. This LNG plant is the first to be built in Russia with two 4.8 million tonne trains with the option of future expansion.

In 2005, we signed a contract with Eaststroy JV for the electrical and instrumentation work for Booster Station 2 which is located approximately 250 km north of Yuzhno­-Sakhalinsk, 1.2 km to the north of the village of Gastello, which is at the halfway point on the main 48” gas pipeline. BS2 is required to increase the capacity of the 48” pipeline to supply the necessary feed gas for running two LNG trains at full capacity. BS2 will be a self-contained and remotely operated facility and will include all necessary utilities, required to support such a facility.

CB&I awarded subsequently awarded us the electrical installation works on the LNG tanks in 2006. In 2007, Kentech was awarded mechanical installation and commissioning works by Starstroi at the Pig Trap Station on the BS2.

In 2010, we installed the Harmonic Filter Shed Building at Sakhalin-2 for SNGS and in 2011, we were awarded the E&I installation and commissioning works on the North Gas Transfer Terminal on behalf of SNMN.

2018 saw our return to the Sakhalin II project when we were awarded the electrical, instrumentation and telecommunications installation and commissioning contract on the OPF Camp Refurbishment.  In 2019 we landed on the GCP Camp where our team helped to build the Camp Transformer Building then subsequently on the camp refurbishment project, a contract which runs into 2020.