Kazakhstan to invest $4 billion in gas processing plant in Karachaganak

Kazakhstan is planning to invest $3.7 billion into the gas processing plant at Karachaganak oil and gas field, KazTAG reports citing Bloomberg. “Kazakhstan plans to invest $3.7 billion into the gas processing plant in Karachaganak field that is being developed by the consortium operated by British BG Group. The country strives to provide fuel for its domestic market,” the message states. “The plant will work to meet the needs of the country’s capital, Astana, and the northern regions starting from 2017,” KazMunaiGas National Company told the agency. in 2019-2021 the supplies may be brought to 5 billion cubic meters, which is over a half of the whole Kazakhstan’s demand of 2011. Last year Kazakhstan purchased a 10 percent stake in the Karachaganak oil and gas project. Kazakhstan Oil and Gas By July 2013 the Ministry is planning to coordinate establishment of a joint company with Russia at Orenburg gas processing plant that is importing gas from Karachaganak. The agreement should also consider construction of a gas processing plant in Kazakhstan and expansion of the Karachaganak project, the Ministry says. Karachaganak Petroleum Operating B.V. (KPO) is developing one of the world’s biggest oil and gas condensate field Karachaganak located in north-west Kazakhstan. The field’s area is 280 square kilometers, its reserves are evaluated at over 1.2 billion tons of oil and condensate and over 1.35 trillion cubic meters of gas. KPO is a joint company of BG Group (29.25 percent), Eni (29.25 percent), Chevron (18 percent), Lukiol (13.5 percent) and KazMunaiGas (10 percent).