Abstract: Establishing Baseline Environmental Conditions for Joint Ventures in the CIS

Paul Whincup, Jeff Jeter

The CIS and former Eastern Block represents one of the greatest market opportunities for Western oil and gas producers over the next several decades. Since 1991 when these opportunities first arose, there have been a number of joint venture agreements negotiated for exploration, workover development and production sharing. Generally, some prior exploration or development activities have taken place in the fields and the Western partner of the Joint Venture is typically indemnified against pre-existing environmental impairment. An important component of the agreements is therefore to identify and document the baseline environmental conditions existing at the time of commencement of the joint venture. In particular, the extent and degree to which soils, surface waters, groundwater, flor and fauna have been impacted is investigated and documented. The baseline conditions thus established are then compared to local background conditions; to acceptable environmental standards adopted by the Western oil industry; to regulations in force in the various countries in the CIS; and to the requirements of the major funding agencies such as the World Bank and the European Bank for Reconstruction and Development. This work can then be incorporated into the subsequent Environmental Impact Assessments where these are required.

The methodologies used and the principal findings of baseline environmental studies completed in the Western Siberia and Timan-Pechora Region of the Russian Republic, in Kazakhstan and in Romania are described. The need to work closely and cooperatively with local research institutes and enterprises is emphasised.

AAPG Search and Discovery Article #90986©1994 AAPG Annual Convention, Denver, Colorado, June 12-15, 1994