Deadline for gas refining plant construction at Kazakhstan's Kashagan field revealed
BAKU, Azerbaijan, Feb.27
By Nargiz Sadikhova - Trend:
The plant for processing of the associated gas will be constructed before the end of 2021 at the Kazakhstan’s Kashagan oil and gas field, Trend reports with reference to the press office of Kazakhstan’s prime minister.
The topic was discussed within the framework of the meeting held by Kazakhstan’s Prime Minister Askar Mamin on the plant construction site during his working visit to Atyrau region.
As noted during the meeting, the project is to be implemented before the end of 2021 in the region’s Makat district. The planned project capacity of the plant is one billion cubic meters a year.
GPC Investment company is a project’s investor, and total investment value in to the project is $860 million.
Mamin said that the construction of the associated gas processing plant will allow to increase the oil production at the field by 12 million tons, as well as will create some 2,800 temporary work places and 600 permanent work places.
He also added that the end products of the plant will be both exported to other countries and supplied to the local market.
“We have studied the project in great detail over the period of time since October 2019. Today’s meeting should be considered the last one on making decisions on the plant’s construction,” Mamin said.
Developed with an estimated investment of $55 billion, Kashagan phase one represents the biggest international investment in Kazakhstan till date. Developed in harsh offshore environment, it is also considered to be one of the world’s most technically challenging oil and gas project completed so far.
According to Kazakhstan’s Ministry of Energy, over the course of three years of the Kashagan project’s development, the volume of revenue to the budget amounted to nearly $700 million.
Projects of Kashagan field expansion worth $2 billion being implemented since 2017 are aimed to reach oil output at the level of 420,000 barrels a day in 2022 and 500,000 barrels a day in 2027.
Presently, Kazakhstan’s Ministry of Energy is waiting for North Caspian Operating Company to submit the concept of large-scale Kashagan field development within the framework of future work on the field.
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