Kazakhstan's government has endorsed a comprehensive plan aimed at advancing major oil and gas projects from 2023 to 2027, Prime Minister Alikhan Smailov's press service reports.
The plan targets a surge in oil production from the current 89mn tons annually to 105.5mn tons by 2027. Prime Minister Alikhan Smailov signed the decree, outlining the production increase within key fields such as Tengiz, Karachaganak, and Kashagan. The plan also encompasses 20 significant projects in oil and gas production, refining, and petrochemicals, requiring an estimated $37.3bn in investments.
The government's focus includes constructing new gas-processing plants and executing three substantial oil refinery projects, notably the extensive modernization of the Shymkent refinery by 2029, doubling its output to 12mn tons yearly. To support this, enhancements to the Kenkiyan-Atyrau and Kenkiyak-Kumkol oil pipelines are planned, increasing capacities to 15mn and 20mn tons per year, respectively.
Additionally, Kazakhstan aims to invigorate its petrochemical industry through the establishment of an integrated petrochemical plant producing 1.25mn tons of polyethylene annually. Geological exploration projects, with a combined investment of $10bn, are outlined, featuring key initiatives such as preparing for production in the Kalamkas-Sea and Khazar oil fields and the development of the Urikhtau gas field.
Askhat Khassenov, Kazakhstan's Vice Minister of Energy, revealed that the country is on track to produce 89mn tons of oil in the current year, slightly below the initial plan of 90.5mn tons. He cited maintenance work on major projects as a factor influencing production schedules, expressing optimism that completing overhauls earlier could help bridge the output gap. Khassenov acknowledged the possibility of a decline in production to 89mn tons but emphasized the potential for improvement through operational efficiencies.
In 2022, Kazakhstan reported 84.2mn tons of oil, with a slight increase recorded in 2023. The Vice Minister of National Economy, Azamat Amrin, noted a 6.6% rise in oil output from January to August 2023, reaching 56.09mn tons of oil and gas condensate. Minister of Energy Almasadam Satkaliyev previously adjusted the 2023 oil output forecast to 89.4mn tons on August 15.
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