JPRS ID: 10153 USSR REPORT ENERGY
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~PRS L/ 10153
2 December 1981
USSR Re ort
p
ENERGY
CFOUO 20/81)
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JPRS L/I0153
2 December 1981
US~R R~PORT
ENEFiGY
(FOUO 20/81)
CONTENTS
~ FUELS
� Infrastructure Development o� West Siberian Oil and Gae;
Complex Described
(Alekaey Davidovich Flzayb~n; VOPROSY EKONOMIKI, ~Lug 81) 1
Presea~t, Future of Pipeline Transport Examined
(V. D. Chernyayev; NEFTYANAYA PROMYSHLENNOST': S;ERIYA
, TRANSPORT I KHRANENIYE NEFTI I NEFTEPRODUKTOV, No 8, 1981) 13
Book Surveys Electrical Methoda of Proapecting in Exiatirig Mines
I (Stepan Vardkeaovich Badalyan, et al.; PODZEMNAYA
ELEKTRORAZVEDKA NA RUDNYKH MESTOROZfIDENIYARH ARMEN'II, 1~80) 16
i
I
i
I
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I~~
- a - [III - USSR - 37 FOUO]
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FUELS
INFRASTRUCTURE DEVELOPMENT OF WEST SIBERIAN OIL AND GAS COM~LEX DESCRIBED
Moscow VOPROSY EKONOMIKI in Russian No 8, Aug 81 (signed to press 11 Aug 81) pp .s5-45
[Article by Aleksey Davidovich ~Chaytun, candidate of economic sciences, head of
laboratory of the Institute of Economics and Management of the USSR Ministry of
Construction of Oil and Gas Industry Enterprises: "West Siberian Oil and Gas
Complex: Socioeconomic Aspec["J
[Text] Development of the West Siberian oil and gas complex is the largest terri-
torial-production program for developing natural resources for the next decades.
The north is viewed as a zone of production and economic development of natural
resources. It is distinguished by remote geographical location from inhabited
economic regions and industrial centers, by harsh natural conditions which prevent
the development of agriculture and impair the development of many industrial sec-
tors, by increased outlays of human and reified labor for work done here, by
natural, climate and socioeconomic condittons that are unfavorable for permanent
settlement, and by low population density.
The basis for development of production in the developed northern regions is the
extracting industry. Its specific weight for Siberia ~s 2.3-fold higher than on
the average for the country. The refining industry develops at the later stages of
development, althougt? it is often economically more advantageous to create a whole
_ complex for extraction and refining. The population of the north is mainly con-
centrated in the foci of development. The distance from the main production and
economic centers, the vastness of the territory, and the lack of development of
the road network limit the transport accessibility. Transportation expenditures
comprise a considerable part of the price structure. Transporting construction
freightto the Ob' area in the Tyumenskaya flblast, for example, reaches 57% of the cost
of the construc~ion and instalZation work in building up the o~l fields. The
expenditures rise significantly in the extreme north, therefore, valuable raw
_ material, gold complex ores, etc, are mainly exported. The largest freight of the
north, timber, is chiefly shipped by water. Selection of the timber areas is
associated with the presence of natuYal communications passages. Transportin; oil
and gas is an exception, however. It requires construction of a-powerful and
expensive system of main pipelines.
During focal develapment, the industries gradually ~oin up with a complex of
service sectors. A local, social and production infrastructure is created which is
relatively less efficient since it is characterized by small-sized enterprises
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designed for considerable c~ntinge~tts fox maintaining and repaix'iz~g the equipment
of the main industries; by limited local xaw mdterial. b~se because of ~ lack of
- farming and animal husbandry; by labqr intensity and high cost of ttie products
because of the small scales of production, increased wages and high transportation
costs.
Water t-ransportation and loiig-distance truck hauling are the most developed. Water ~
shipping under northern conditions is limited, howevex, by the periods of naviga- ~
tion, difficultxes in reloading cargo from sea.to river transportatio~, the insuf-
Licient number of ports, piers and the poor development of the warehouse system.
Truck hauling is done during the winter on frozen rivers and swamps ("winter roads"). ,
This doubles the cost as compared to shipping on automobile roads. The specific
capital outlays for building railroads and roads doubles and tri:~les as compared ~
to the European sector of the USSR. Construction of airports is complicated and
. expensive. In this case it should be taken into consideration that air trans-
portation operates with interruptions because of the northern weather conditions.
Thus, the main characteristics of the northern economy are: orientation on extrac-
tion of highly efficient minezals, focal nature of the developm~nt of the assimi-
lated regions; need to guarantee autonomy of the foci of development in local ~
_ infrastructure. All of these factors are.fully inherent to development of the
- northern oil and gas regions, which, however, have additional specific features.
Focal development of r?atural resources occurs simultaneously in different places
of the vast region. i~Thereas a focal nature is inherent to development of an
individual field or group of fields, interrelationship of.elements, interdependence
of the periods for development of each local center of development and the entirs
region are inherent to the dev~lopment process as a whole, The infrastructures
that accompany the rnain branch industry, although they have a closed nature and are
created to primarily service the local needs, are united together by many bonds
into the infrastructure of the regi.on of development. The same is true for the ,
- social infrastructure. It has common elements and is included in a unified
developing system of settlement.
The oil and gas complex is distinguished from other regions of northern development ~
by the volumes of rransporting of the fir?ished product. Up to 300 million tons of
oil were transferred from West Siberia on gas pipelines in 1980. The average
distance of shipping exceeded 1000 km and the gas pipeline productivity rose by
more than 350 trillion cubic meters per kilometer. '
Build-up of the oil fields requires shipping by general-use carrier of no.less than
20 million T of freight each year. Construction of only one branch of the main
la~ge diameter gas pipeline from the northern regions of the Tyumenskaya Oblast
requires haiiling about 5 mill~on T of freight. The transportation system which
unites the specialized pipeline transport of finished product and general-purpose
transport (railroad, roads, waterways, aviation) thus integrates the foci of
development into a unified national economic complex. This is guaranteed not only
by the direct organizational function of transportation, but also by the fact that
during the construction and operation of the powerful transportation systems, an
infrastructure is created in the "corridors" o� suopl.y lines which supplements
the focal structure as the binding link of the complex. _
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, The shortage and national economic importance of natural resources of the oil and
gas complex also determine such a feature~as its rates of development. There is
essentially no time interval between the discovery of the fields and the beginni:~g
- of build-up of the industry that is sufficient for the successive evolution of a
supply system base for the main industries.
The general plans of the cities and settlements are in effect for over 20-25 yea.rs.
Selection of the location of the population area, exploratory work and c3ty
designing and building are also associated with lengthy periods. At the initial
stage of exploration uf the oil field, it is difficult to define its expected
output, to plan for tie-in of the production base, and to establish the need for
labor resources, that is, the initial information needed for city designing and
building. As shown by experience, if a newly discovered o~l field has industrial
importance, it will be involved in intensive production development in the shortest
periods. Its characteristics (reserves, productivity, methods of extraction and
transportation, etc.) are pinpointed during the process of construction and
operation. City designing and building therefore inevitably includes temporary
solutions of its initial stage as an important element.
The period of effective operation of the oil f ield, depending on its output, is
counted in 10-15 years, after which extraction diminishes. However, this doc~ not
signify a proportional reduction in the need for labor resources. In order to
maintain a stable level of extraction at the f ields which are becoming depleted it
is necessary to drill additional oil wells, have forced maintendnce of the formation
pressure by ilooding and injecting gas, etc. On the contrar}~, automation of o~.l
extraction reduces the need for workers to run the fields, and at the same time
construction work to build-up the field is cut back. In individual, local zones
! of development, the period for optimal functioning o� the base production around
which they. are formed is consequently reduced, and even more so, the period for
increased demand for labor r.esources. Finally, the natural features of the West
Siberian oil and gas complex includes an extremely limited number of areas that
are suitable for the formation of permanent settlements. The northern area of
- West Siberia is characterized by vast peat bogs and widespread permafrost. The
~ oil and natural gas fields in many cases are located under such conditions that
I it is not expedien~ to build a city or workers' settlement in direct proximity to
them. In some cases the created population area is not able to expand since this
is associated with expensive work for engineering preparation of thz territory
(building up the ground, special measures to preserve the permafrost, etc.).
The majority of developed fields are located on swamps, lalces and flooded sectionsl
(in % of the total field area):
Field Swamps Lakes Floodplain
Samotlor 60 15
- Ust'-Balyk 50 12 67
Mamontovskiy 40 6 9
Var'yeganskiy 37 35 -
Pravindsk 40 3 10
Thus, the process of developing the ~orthern Tyumer.skaya Oblast is cl~aracterized
by a monoresource type of development which is based on extraction of hydrocarbons
(oil, casing head and natural gas), by large scales and rates of. development, by
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the creation of powerful pipeline systems and transportation trunklines of general
use, and tlie related unification of foci of development int~ a territorial complex,
by short periods of operation of individual fields and by indefiniteness of the
outlook for develapment of t'ne associated population area and the ir.frastructure in
th~ foci of development beyond these periods.
Production development is viewed as the first stage of the subsequent settlement of
the territories. It is often implied that settlement is precisely the basic
socioeconomic goal of forming productinn forces of new industrial c~omplexes. At the
same time practice does not ~onfirm the univers~lity of this thesis. In particular,
after working =orest tracts, the lumber industry settlements are closed in many cases.
The permanent popuiation is significantly reduced. On the contrary, all the pre- ,
viously disccvered large oil fields have become the center of development for a
system of permanent settlements, while the largest ore fields (Magnitogorsk, Noril'sk)
have become the base for the creation of modern well-built and fairly large cities.
It is expedient in this respect to examine the.correlation between the concepts of
development of a territory and its comprehensive development and settlement. Terri-
tories and regions that were itot previously settled and are characterized by an
undeveloped infrastructure and the Iack of a production base are subject to develop-
ment. Settlement of the territory, in turn, depends on the historical conditir~ns
and level of development of the country`s production forces. Permanent settlements
have currently been set up in near-polar regions of the European North that were
previously considered unfavorable for the development of large cities (for example,
Murmansk and its associated system of cities and settlements). Individual regions
in East Siberia, in particular, the zone of the An~aro-Yenfsey power engineering
complex, are characterized by roughly the same process of transition from the stage
of development to permanent settlement.
In our oninion, a condition for settlement is the availability of a permanent pro-
duction base which guarantees specialized employment for the population for a long
time, as well as the level of d~velopment of the infrastructure, primarily, munici- ,
pal engir.eering structures, road network and housing fund, and auxiliary production
sectors.
- A distinguishing feature of the settlem~nt stage is expanded reproduction of the
local population, rligratory processes of Siberia are characterized in individual
periods by a negat~ve balance, that is, an efflux of labor resources ta the European
sector of the country. Total growth in population is guaranteed by a natural in-
crease. The Iabor resources are supplemented to a considerable measure because of
the native population, the Siberians of the second and third generations. In this
case the socioeconomic and natural-climate conditions which guarantee expanded re-
production of the popuJ.ation are the definitive prerequisite that creates the
possibility of a transition from the stage of develapment to permanent settlement.
When these conditions are present, development can be viewed as the initial stage
of subsequent settlement of territories which are suitable for permanent resi-
dence. The West Siberian oil and gas complex does have these regions. Permanent
settlement of them after exhaustion of the main natural resource is inexpedient
at the given stage of development of the productive forces.
4
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The development of the West Siberian oil and gas complex is characterized by contra-
dictions between the resource nature of the production development and the need
to comprehensively develop the so~ial infrastructure which are objectively inherent
to the socioeconomic development of the north; by the limited periods for effective
development of the foci of development on the basis of oil and gas, and by the
- long-term nature of settlemeat; by the need to set up a compl�ex of socioeconomic
conditions in a short period and by the rapid rates of production development; by
- the focal nature of development and by the need for balanced development of
the complex as a unified whole.
It has been suggested that the expediti~n-watch method of developing new territories
be used to r.esolve these contraditions. The use of this method, as well as the
correlation of interregional ane~ intraregional use of labor resources depend to
- a considerable measure on the specif ic socioeconomic and natural conditions of the
different regions.
The West Sioerian oil and gas complex enco;npasses the regions of the Tyumenskaya
Oblast and part of the northern regions of the Tomskaya Oblast. This territory is
c:ustomarily divided into seven regional territorial production complexes: Tyumen'-
Tobol'sk,Cen~ralOb' area,Sos'vinskiy Ob' area~ Kondinskiy Ob' area, Nizhneobsko-
Yamal'skiy Nadym-Tazovskiy and Vasyugan-Tymskiy which are at different stages of
formation.~
- The najority of TPC [ter.ritorial production complexes] are associated with the
Kas and oil industry. Of the new branches of economy, one can otilq isolate the
indtistry of construction materials and power engineering ( Central Ob' TPC) in the
structur.e of the northern TPC at this time. Reindeer breeding is traditional in
these regions (in Central Ob'a-rea , meat and dairy animal husbandry with foci of
farming), as well as forestry and fishing.
. The development methods used in these TPC have a similarity. Depen.ding on a number
' oE natural-climate and economic factors, including the level of development of the
' transportation systems, however, one can also reveal definite differences. For an
understanding of the specific nature of devel~pment of tize oil and gas complex in
West Siberia and the creation of a system of settlement associated with the complex,
the su~gested zonin~ of the re~;ion is excessively fragmented and impalrs a detection
~~f the main laws.
It has been suggested4 thaC four main Zones be isolated in the oil and gas regions
~ of West Siberia. They are distinguished in the set of economic: and natural factors.
and c~rrespondingly, the methods of production and social development. These
factors include: i) climate, relief and soils, hydrographic characteristics; 2)
minerais (primarily oil, gas, ~as condensate); 3) transportation system and infra-
- structure, level af development (industrial development, settlement, social infra-
structure); 4) medical and biological assessment of the suitability of the terri-
tory f~r permanent 'residence.
- The suitability for permanent residence depends on the sanitary-hygienic conditions
which t?ave a stochastic nature. Nevertheless, assessment of them which is based on
an analysis of morbidity and physiological studies, is possible and desirable if
only to determine the original level of economic stimulation of migrants, The
- remaining factors depenu on the degree of sCudy of the natural resources and the
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sta~t, of development of the territory. The natural-climate conditions can be
taken into consideration in the medium-range prediction of socioeconomic develop-
ment of the region as unct?anged (anthropogenic effect on tre environment is ignored
in this case).
The set oL- natural,.economic and social canditions which influence the course of
production assimilation and devElopment of the system of settlement even now deter-
mines the zonal differences in the assimilated oil azld gas regions af the Tyumenskaya
Ob]_ast .
The first zone is the territory of ~he Yamalo-Nenetskiy autonomous okrug. The main
natural resources are fic~lds of natural gas, condensate and oil. The country's
largest Urengoy field is partially located on the southern boundary of the zone.
Formatic,n of the country`s most important base for natural gas extraction will
begin in the llth Five-Year Plan in this zone.
Fr~ight is mainly tr.ansported uver the northern sea route (with unloading onto the
icej, on rivers and "winter roads." It is a1TO~utomoblletroadsp fConstru~tioneof
railroad through Vorkuta,and further on winte
a system o� gas pipelines fr~m the northern fields and build-up of the largest
natural gas fields are planned. The population in this zone is small and is
mainly concentrated on ~l~e southern borders, river ~,anks, as well as near the
developing fields~ization~of thececdemicepopulation~accordingatoethersetrofnclimatel
dence and acclima ulation change,
conditions and the development oY municipal settlements. The pop
according to medical studies, is required every 1-3 years.
The second zone is the southern part of the Yamalo-Nenetskiy okrug and the Siberian
Urals. This is a zone where the largest natural gas fields and industrial fields
of gas condensate and oil have been explored in tas extracrionlwasestarteddhere in
Taz and Messoyakha. TY~e caunty's main base f~or g
tY~e 1Gth Five-Year Plan. Over 150 billion m were e~tracted inthe Ob'area in
1980. The gas reserves already exceed 10 trillion m. The cities of Nadym and
Urengoy, as well as the administrative capital of the okrug, Saleulationhinethisun
to develop in the regional gas fields. Change of the ecdemic pop
zone is expedient every 3-7 years.
The third zone is Central~b' area. Oil fields have been explored here and a new
base has bee^ forhedn~�thern regionslof thetTomskayarOblastabelongntoythis zoneno-
motis okrug, and t
accor.ding to administrative division.
Fedorovskiy,
Oil fields have been explore~i in Ob' area including the Samotlor field,
Mamont~vskiy, Yugailskiy and others. The urban population, according to a census,
rose in 10 years by more than 400,000. Large cities of Nizhnevartovsk, Sv.rgut
_ and Nefteyugansk have been for~r,ed.
This zone is at tl~e stafie of ititensive development and assimiiation. According to
the natural-c.limate conditions, the territory is suitable for permanent settle-
ment, however, as a resul~ of the insufficient develupmentl~neshecityrdesigningeand
including a base ror the construction industry and supply
bu?lding is difficult.
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The fourth zone is the southern regions of the Tyumenskaya Oblast that are adjacent
to the oil and gas zones. These are regions with developed agriculture, formed
cities (Tyumen', Tobol'sk and others), and a climate favorable for the population.
Routes of oil pipelines and trunkline gas pipelines (Urengoy-Chelyabinsk) pass
through the southern Tyumenskaya Oblast. Her.e there is a production uase of the
sectors of the oil and gas complex, planning and scientific or~anizations, and
administrative-managerial apparatus of the central boards and associations. . All of
this allows us to view the southern zone as the base for development and to rank
it territorially in t~ie West Siberian oil and gas complex.
Zoning of the territory is necessary in order to pinpoint the plans for development
_ of the region and to plan the most efficient methods f~r developing the region and
each zone. These methods are significantly governed for the futur.e by the already
noted clevelopment trends since they are based on the previously created production
hase ztid the forme