Investment in Kazakhstan's Tengiz expansion project will total $533 mln in 2025

ASTANA. March 4 (Interfax) - The Future Growth Project (FGP) at the Tengiz oil and gas field will be put into commercial operation in Q2 2025, and investment in the project will total around $533 million during the year, Kazakh Energy Minister Almassadam Satkaliyev said.

"The increase [in Kazakhstan's oil production in 2025] will be mainly driven by the Tengiz Future Growth Project, which will be put into commercial operation in the second quarter of 2025. Investment in the project this year will amount to about $533 million," Satkaliyev said at a government meeting on Tuesday.

Kazakhstan plans to produce 96.2 million tonnes of oil and gas condensate in 2025, he said.

The general director of Tengizchevroil LLP (TCO), Kevin Lyon, previously told Interfax that the Tengiz expansion project may reach full capacity by mid-2025. TCO announced the production of its first oil from the Future Growth Project (FGP) at the end of January 2025.

The Tengiz FGP and the Wellhead Pressure Management Project (WPMP) were originally expected to be completed by the end of 2022, but the deadlines were later repeatedly moved back. At the end of April 2024, Tengizchevroil commissioned the Wellhead Pressure Management Project (WPMP) facilities.

The delay in the launch of the FGP at Tengiz, as well as scheduled and emergency production shutdowns, affected the overall pace of the country's economic development.

The Tengiz oil and gas field is one of the largest in Kazakhstan, with oil reserves of 3.1 billion tonnes. It is located in the Atyrau region. In January-June 2024, the field produced 14.4 million tonnes of oil (114.6 million barrels), down 3.4% compared to H1 2023.

The shareholders of the field operating company, Tengizchevroil LLP, are Chevron (50%), ExxonMobil (Kazakhstan Ventures Inc (25%), Kazakhstan through KazMunaiGas (20%) and Lukoil (5%).

The total cost of implementing the FGP-WPMP has been estimated at $46.7 billion.