Astana, Kazakhstan, Feb. 28
By Daniyar Mukhtarov - Trend:
The Kazakh gas transportation company KazTransGas drew a loan worth $ 700 million to complete construction of the Beyneu - Bozoi -Shymkent gas pipeline, the company reported on Feb. 27.
"A signing ceremony of financial documents was held in Beijing (China) to attract a loan worth $ 700 million to implement the second phase of construction of the Beyneu - Bozoi -Shymkent gas pipeline," according to the company's statement.
The documents were signed by Kazakh Deputy Chairman of Board of KazMunaiGas national company Daniyar Berlibayev and director general of KazTransGas Serik Sultangali. The documents were signed by the heads of China National Oil and Gas Corporation, TransAsia Gas Pipeline, China Development Bank and Bank of China, according to the report.
The China Development Bank is an organizer of the loan for a period of 15-years.
KazTransGas will direct the loan funds for the construction of a Beyneu-Bozoi section with a length of 311 kilometers, as well as the Karaozek compressor station in Kyzylorda region. The construction of these facilities will increase the capacity of the Beyneu - Bozoi -Shymkent gas pipeline to 10 billion cubic meters per year.
The main objective of the project is the most complete and stable supply of the southern regions of Kazakhstan with natural gas, including the gasified areas of Kyzylorda, South Kazakhstan and Almaty regions through their own gas resources produced in the western regions of the country, as well as the transit of extra gas volumes to China via the Kazakhstan-China gas pipeline.
Moreover, there will be an opportunity to connect all major natural gas pipelines - "Central Asia-Center", "Bukhara- Ural" and "Bukhara gas region - Tashkent-Bishkek- Almaty" into a single system of main gas pipelines of Kazakhstan after the second section of the gas pipeline is commissioned.
The implementation of the Beyneu - Bozoi -Shymkent gas pipeline construction project will positively impact the energy security of Kazakhstan and also contribute to the creation of new jobs, Sultangali said.
The first phase of construction of the Beyneu - Bozoi -Shymkent gas pipeline at the Bozoi -Shymkent section stretching 1,143 kilometers was completed in September 2013. The Kazakh and Chinese presidents attended an official opening ceremony of its commissioning.
KazTransGas was established in 2000 to organize the work in the oil and gas industry. KazTransGas has been determined as the national operator in the field of gas and gas supply since July 2012 upon the Kazakh government's decision.
Translated by NH
Edited by CN