KazMunaiGas and Eni gas-processing plant in West Kazakhstan approved

KazMunaiGas has received a positive statement of the state inspection on the feasibility study of a gas-processing plant in West-Kazakhstan Oblast, Tengrinews.kz report citing the company's press-service. "The gas-processing plant project in West-Kazakhstan Oblast is implemented by KazMunaiGas jointly with Italian Eni under the Cooperation Agreement signed on November 5, 2009. The project is managed by the Directorate of the KMG Construction Enterprises, a 100 percent branch of KazMunaiGas. Eni is financing the feasibility study," the Kazakhstan company's message states. The next stage involves development of design and estimate documentation scheduled for 2013-2014. It will be performed in cooperation with Kazakhstan design companies that will be selected by the end of January 2013. "The project will be very important for development of the region and the whole oil and gas sector of Kazakhstan. The plan is to involve up to 3,500 people in construction. This will become a significant contribution into employment of the region's population. The personnel of the gas plant will make around 700 people," the press-service cites Director General of the Directorate of the KMG Construction Enterprises Nurlan Balgimbayev. The gas-processing plant with the capacity of 5 billion cubic meters per year will process associated sulfuric hydrocarbon gas produced at Karachaganak field. The project's main objective lays in production of commercial gas for Kazakhstan consumers and increasing the level of reliability of gas supplies from Kazakhstan's own sources, provision of commercial gas to northern and central regions of Kazakhstan, including Astana, as well as gas sales to the foreign markets. The first stage of the plant's construction is scheduled for 2014-2019, while the second stage is planned to be completed in 2021-2023.