8 Jun 2023 16:51

Kazakh president, Eni discuss prospects for gas processing plant at Karachaganak

ASTANA. June 8 (Interfax) - Kazakh President Kassym-Jomart Tokayev and CEO of Eni S.p.A. Claudio Descalzi have discussed the Italian company's activities in Kazakhstan, as well as plans for key oil and gas projects at the Kashagan and Karachaganak fields, Tokayev's press service said.

"The head of state was informed about the key areas of the consortium's work for the further development of the country's oil and gas industry. In particular, the prospects for the construction of a gas processing plant with capacity of 4 billion cubic meters at Karachaganak were discussed," the press office said.

Currently, up to 9 bcm of gas per year from Karachaganak is being treated at the Orenburg Gas Processing Plant in Russia, and then returned to Kazakhstan to be sold on the domestic market. Kazakhstan's Comprehensive Plan for the Development of Key Oil and Gas and Petrochemical Projects in 2023-2027 says that Karachaganak Petroleum Operating B.V. will evaluate the possibility of increasing gas production from the field from 9 bcm to 13 bcm per year without significant affecting the production of liquid hydrocarbons. The additional gas would be treated at a new gas processing plant scheduled for launch 2028-2030.

A concept for the construction of the gas processing plant at Karachaganak will be selected this year, Arman Tuyakov, director of the oil and gas projects at national oil and gas company KazMunayGas, said in March.

The Karachaganak oil and gas condensate field, one of the world's biggest, contains an estimated 1.2 billion tonnes of oil and 1.35 trillion cubic meters of gas. It is operated by Karachaganak Petroleum Operating B.V., which is own by Shell with a 29.25% stake via its wholly owned BG Karachaganak Ltd, Eni with 29.25%, Chevron with 18%, Lukoil with 13.5% and KazMunayGas with 10%. Karachaganak Petroleum Operating has been developing the Karachaganak field since 1997 on the basis of a 40-year production sharing agreement.