OIL OPERATIONS

West Gulf Petroleum LLC acts as the operating company on some license areas, produces oil and gas, and carries out their primary treatment, storage and sale.

Oil Production

Oil and gas production industry is governed by the Law of Georgia "On Oil and Gas" and bylaws issued based on it.

West Gulf Petroleum represents the owner of sectoral state property (wells, special equipment, railway dead-end, oil-accumulation system, warehouses etc.) and has a right to transfer it into the ownership of respective license-holder Investors. In addition to performance of NOC functions, West Gulf performs sectoral economic activities, in particular, it has the oil primary treatment enterprise with 50 000 ton tank farm where services are provided for treatment of crude oil to stock-tank condition and its storage until the sale. Also, West Gulf holds the license for oil production and produces oil on the license area.

Oil Transportation

The Baku-Tbilisi-Ceyhan (BTC) and the Western Route Export Pipeline (WREP) transport oil through the territory of Georgia. BTC pipeline exports oil extracted from the Azeri-Chirag-Gunshli field to the Ceyhan port in Turkey. BTC is the second longest pipeline in the world. The total length of the pipeline is 1.768 km with 229 km in Georgia. The pipeline has eight pumping stations, two of which are located in Georgia.

Oil transportation through the BTC pipeline started in 2005. WREP also known as the Baku-Supsa Pipeline is the first investment of International Oil Consortium in Georgia, which has been in operation since 1999.
The length of the WREP is 830 km. Its diameter is 530 mm. The pipeline transports crude oil from Azeri-Chiragi-Guneshli oil field to the Supsa terminal in West Georgia. The Supsa terminal with the capacity of 120 000 tons was constructed as part of the (WREP) pipeline construction project.

Oil was first pumped into the WREP from the terminal at Sangachal in December, 1998 and the first tanker was loaded at Supsa in the summer of 1999.