During the Government session of the RK on measures to address pressing issues and unlock the potential of the country's gas industry reported the Chairman of the Board of NC “QazaqGaz” Sanzhar Zharkeshov.

According to him, in Kazakhstan in recent years there has been a steady growth dynamics of the potential of the gas industry. Due to decarbonization and accelerated economic development, the gas industry is becoming one of the most important in the country.

Speaking about the transformation processes, Sanzhar Zharkeshov noted that a comprehensive strategy of QazaqGaz development in 12 directions has been developed and is being implemented.

In 2023, the national company with the support of the Government, Ministry of Energy, Samruk-Kazyna Fund reached important agreements on gas transit and export. The company is actively developing its own resource base. Thus, the issue of gas deficit for the current fall-winter period has been resolved.

Within the framework of socially fair pricing reform, a gradual liberalization is being introduced with no effect on socially vulnerable groups of the population, and an incentive formula for the price of purchasing new volumes of gas from subsoil users has been approved. Such measures will make the industry more profitable.

"Despite the challenges, QazaqGaz has steadily provided the population and economy of the country with gas, while eliminating more than 3 thousand critical defects during the last two years. Thereliability of the gas transportation system has been strengthened," the head of the company said.

QazaqGaz has modernized the gas transportation system at its own expense, built system infrastructure projects worth over 400 billion tenge. The issues of acceptance of gas facilities built by akimats across the country have been resolved. Within 1.5 years, 127 settlements in 14 regions of the country were connected to the gas supply system, which provided access to gas for 237 thousand people. In the second half of 2024 it is planned to gasify another 68 settlements, or 276 thousand people. The company also annually subsidizes gas prices for the domestic market by 200 billion tenge.

According to the head of QazaqGaz, uninterrupted gas supply and operation of GTS facilities at Tengiz, Kashagan and Karachaganak fields were ensured during unprecedented floods in the country. The Company allocated 2.1 billion tenge of its own funds to fight the floods and utilized a considerable number of employees and special equipment.

In addition, the company reached breakthrough agreements with Gazprom on gas transit to Uzbekistan in reverse mode, and negotiations on long-term supplies of Russian gas to Kazakhstan are ongoing. A new export contract for 2023-2026 with CNPC/PetroChina was signed. QazaqGaz fully fulfills its obligations on export and transit of natural gas. An agreement on geological exploration at the KT-III (Zhalibek) site in Aktobe region with Chevron was reached on the terms of 100% carry-financing. That is, the investor assumes all costs and risks at the stage of geological exploration, which is very favorable for the republic. QazaqGaz plans to open a large gas or gas condensate field.

An intergovernmental agreement was signed on realization of joint projects with the State of Qatar with a total cost of $11 billion. These are the projects of construction of the second string of the main gas pipeline “Beineu-Bozoi-Shymkent”, GPP at the Kashagan field and the main gas pipeline “Aktobe-Kostanai”.

Construction of urea plant worth $1.35 bln is planned with Turkish investor.

A new gas field Anabai in Zhambyl region was put into operation.

The project of construction of a liquefied gas terminal with the Kashagan field was launched, aimed at reducing the deficit of the domestic market from 2025-2026.

QazaqGaz Scientific and Technical Center was established. For the first time, a scholarship for the best gas students of Satpayev University and KBTU was established.

QazaqGaz from its budget realized projects worth 400 billion tenge, among them:

• Gasification of Sarsha locality and the resort area “Warm Beach”;
• Construction of the Makat-North Caucasus MG looping;
• 2nd string of MG “Beineu-Zhanaozen” in Mangystau region;
• construction of gas infrastructure for Almaty CHPPs;
• implementation of the construction projects of the Taldykorgan-Usharal MG and the 2nd string of the Beineu-Bozoi-Shymkent MG has been started.

Investors for QazaqGaz portfolio blocks are being attracted: technical and commercial negotiations are underway, investment agreements on a number of projects have been signed.

There is interest from Kazakhstani investors for exploration areas of QazaqGaz.

#Government session #International Cooperation #Investments #Oil & Gas