Both companies, using their dedicated upstream subsidiaries, cooperated to perform drilling and deposit development works, as well as ensured quality and safety.
The investment in Nowy Karmin village
Natural gas deposit in Nowy Karmin was discovered in 2014 during joint operation works carried out by the partners under “Jarocin-Grabina” license no 16/2001/p. It is located within the borders of Dobrzyca Commune, in Pleszew District, in Wielkopolska Province. Recoverable natural gas reserves calculated into high-methane gas are 403 million cubic meters, with the prospect of production for the next 20 years.
Modern plant built in the “Karmin Near-Well Zone” (SP Karmin) is used for the initial purification and dehydration of natural gas. The plant is automatic and processes carried out in SP Karmin are going to be operated remotely from the “Jarocin Group Center” (OG Jarocin) in the town of Wilcza. That is where the gas produced from the Karmin deposit is going to be transported via 13-killometer long pipeline. In order to connect SP Karmin, a special dedicated installation was built at OG Jarocin, the installation adjusts the parameters of the gas to those required by the distribution network. Next, gas is transported via DN125 and DN150 pipelines to the Radlin Natural Gas Plant, then it is transported to the DN500 transmission pipeline route Radlin-Krobia.
Synergy of activities
Since 2007, PGNiG and PKN ORLEN have conducted joint upstream operations in Poland. Their joint activities are currently carried out within 14 domestic licenses in the Western and South-Eastern Poland. The cooperation includes, among others, natural gas production from 7 deposits in Greater Poland (within Płotki area, which also covers SP Karmin and OG Jarocin plants) and joint upstream operations in the remaining areas (Sieraków and Bieszczady projects). The total reserves from assets operated jointly are 15.5 MBOE. In the second quarter 2016, the average production was 2.7 thousand BOE/D. The partnership and good outcomes of the cooperation were cemented by the letter of intent, signed by both companies on 14 July 2016, concerning the potential expansion of the hydrocarbon exploration, appraisal and production cooperation by including new areas in Poland. In addition to their operational activities, PGNiG and ORLEN jointly undertake research and development projects under the National Centre for Research and Development (NCBiR) called “Blue Gas,” aiming at development and commercialization of innovative exploration technologies.