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Akhmetov calls to increase oil and gas production in Kazakhstan

14 june 2013, 18:41
0
©RIA Novosti
©RIA Novosti
The Government of Kazakhstan is bracing for a large-scale program of development of mineral resources until 2020, Tengrinews.kz reports citing Kazakhstan Prime-Minister Serik Akhmetov.

Talking to MPs during today's joint meeting of the chambers of the Parliament, Akhmetov told about the situation in metals, oil and gas production.

“We have developing many of the reserves that were discovered during Soviet exploration works. Some of these ore deposits are nearing depletion. You know that, for example in Kazakhmys, some mines are very low profit. Copper content in the ore is extremely low. These companies are bearing losses. Three out of four mines in Zhezkazgan region are marginal. That’s why not only the state authorities but also the companies have to take to exploration very seriously,” he said.

The situation is not much better in oil and gas sector, the Prime-Minister said.

“The volumes currently produced by KazMunaiGas are insufficient even in spite of partnership with the world’s biggest companies. We need to increase the volumes of production of both oil and gas to boost the country’s economy. We are now at the cusp of reconstruction of three oil refineries. The oil produced by KazMunaiGas is clearly not enough to load the refineries after the reconstruction. We need at least 4-5 million tons more for the local capacities. Each of these refineries will process 6-7 million tons,” the Prime-Minister said.

The Prime-Minister mentioned that the issue of gas supply was acute around the country.

A concept of development of exploration works is being prepared, he said. “We are now studying the international experience. Our country needs new methods and new technologies. I think that international-level managers will come to manage the system of Kazgeologiya (geological exploration and research company),” Akhmetov said.

An agreement establishing the Geological Research Center in Atyrau is expected to be signed during the forthcoming visit of Great Britain’s Prime-Minister David Cameron to Kazakhstan, he added. “I think that this is one of the first steps that will help us approach these issues based on the international experience,” the Prime-Minister said.


By Renat Tashkinbayev

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