The Kyzloi and Akkulka development is one of the first dry gas developments carried out in Kazakhstan with one of the first tie-ins by a non-State company to a major gas trunkline in Central Asia. Production commenced in December 2007 (Phase 1).
Kyzyloi and Akkulka fields contain sweet (no sulphur), dry natural gas at shallow depths of up to 610metres making for relatively low development and operating costs. The Kyzyloi and Akkulka fields are tied into the major Bukhara-Urals gas pipeline by a 56 km pipeline owned and built by the Company and with a design capacity of up to 2.0 million cubic metres per day (Mcm/d). Gas is pumped into the Bukhara-Urals trunkline at the Company's Booster Compressor Station (BCS) at 910 km on the trunkline. The BCS has been upgraded to take Phase 2 gas production and now consists of five separate compressor units plus continuous gas composition and flow measurement fully integrated into the Bukhara-Urals gas export system. Since Phase 1 commenced production, the Company has been very successful in exploring for new gas in the Akkulka area and has tested commercial gas from 11 of these wells. The first of these deposits has now been tied into the system and is part of the Phase 2 production. The recent acquisition of 3D seismic data has identified more possible shallow gas targets
In December 2009, the Company obtained a Production Contract for Phase 2 under the Akkulka Production Contract. Tethys' engineering team based in Almaty and Aktobe have developed this project and Tethys has built a Kazakh operating team for the project based in the town of Bozoi which is bringing additional employment to this remote desert region. Tethys hopes that this project will form the base for a significant gas development project supplying Kazakh gas for both the domestic and export markets.