Inpex to enter production phase at Zapadno-Yaraktinsky block oil field in Russia

Japanese oil company Inpex Corporation has plans to enter a production phase at the Ichyodinskoye Oil Field located within the Zapadno-Yaraktinsky block (ZY block) in Irkutsk Oblast, Russian Federation.

This follows the confirmation of commercial quantities of crude oil following long-term production testing aimed at securing an appropriate assessment of reserves.

Inpex is currently involved exploratory activities in the ZY block and the Bolshetirsky block with various companies such as Japan Oil, Gas and Metals National Corporation and ITOCHU Corporation through Japan South Sakha Oil (JASSOC).

ZY block and BT block are located onshore with a surface area of 4,835km² and 3,307km², respectively.

The operatorship of both the blocks is held with INK-Zapad, a joint venture between Irkutsk Oil Company and JASSOC.

Crude oil production from the Ichyodinskoye Oil Field is expected to meet the domestic demand of Russia.

In addition to the domestic supplies, it is scheduled to be exported to Japan and other East Asian countries through the Eastern Siberia-Pacific Ocean (ESPO) pipeline from the Russian port of Kozmino.

The ongoing exploration activities have also confirmed deposits outside the Ichyodinskoye Oil Field, which may encourage further production testing.

The decision to enter the production phase highlights Inpex’s strategy to increase its foothold in the Russian Federation, which hosts vast oil and gas potentiality. It expects that the effect of this step will have minimal impact on the company’s financial results.

At present, Inpex is actively involved in 70 projects located across more than 20 countries.

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Image: Location of ZY block and BT block. Photo: Courtesy of Impex Corporation.