BAKU, Azerbaijan, March 5
Trend:
Oil production in Kazakhstan may reach 86 million tons by the end of 2021, the country’s Energy Minister Nurlan Nogayev said, Trend reports citing the Ministry of Energy of Kazakhstan.
“Taking into account the restrictions (OPEC+) that were in force during January 2021, a forecast was made for the pessimistic scenario for 2021 production in a volume of 83.4 million tons. At the same time, today there is a gradual recovery of the world oil market and oil quotes. We expect to fulfill the plan - 86 million tons,” said Nogayev at the expanded board of the Ministry of Energy.
"The volume of oil and condensate production at the end of 2020 amounted to 85.7 million tons, oil export - 68.5 million tons. At the same time, oil exports amounted to 68.5 million tons. The plan for 2021 is 67.5 million tons," said the minister.
"The volume of oil refining at the end of 2020 is 15.8 million tons. The refining plan for 2021 is 17 million tons. The volume of production of petroleum products at the end of 2020 amounted to 11.5 million tons. The plan for 2021 is 12.4 million tons," Nogayev added.
During the meeting, the minister noted that in 2020 the mining industry was negatively affected by the COVID-19 pandemic, which affected oil prices and led to restrictions on oil production under the OPEC+ agreement, and a decrease in uranium production and other consequences.
"In May 2020, the government of Kazakhstan adopted a resolution ‘On the introduction of temporary restrictions on the use of subsoil plots for exploration and production and hydrocarbon production operations’. The government adopted a similar resolution for 2021 on December 29, 2020 (No. 911)," he said.
Restrictions on oil production were introduced due to the obligations of Kazakhstan in the OPEC+ agreement and in the context of an imbalance in the demand and supply of oil in the world, Nogayev said.
“Thanks to the measures taken by the government and the OPEC+ member countries as part of the reduction in oil production, the oil price increased from $18 to $50 per barrel by the end of 2020. The commercial stocks of oil in the OECD storage facilities have decreased from 3.214 to 3.077 million barrels,” the minister said.