Saudi Aramco begins Khursaniyah field production

Saudi Arabia’s state-owned Saudi Aramco, which earlier had to delay a planned start-up, has begun production from its Khursaniyah oil field, according to company officials. Production volumes could eventually ramp up to as much as 500,000 b/d.

Saudi Arabia, reported to be investing some $90 billion of its oil revenue to further develop production capacity, hopes to increase oil production capacity to 12.5 million b/d and double its refining capacity to 6 million b/d by 2009.

Khursaniyah production, scheduled to begin in December 2007, was delayed due to global material shortages suffered in the construction of its associated gas processing plant.

The new production, which will be welcomed by markets, is part of the Saudi government’s larger initiative to boost the country’s oil and gas output.

Oil and Gas Journal