11 Sep 2023 14:14

Kazakh president asks QazaqGaz to supply enough gas to domestic market

ASTANA. Sept 11 (Interfax) - Kazakh President Kassym-Jomart Tokayev has asked national company QazaqGaz to ensure sufficient gas supplies to the domestic market and to complete winter heating programs in time, the presidential press service said in a statement.

The Kazakh president had a meeting with the chief executive officer of National Company QazaqGaz JSC, Sanzhar Zharkeshov, on Monday.

"At the end of the meeting, the president gave a number of instructions aimed at ensuring a stable supply of gas to the domestic market, completing all preparations for the coming heating season in a timely manner, introducing a concept of economical consumption of natural gas and carrying out further price formation reforms," the statement says.

The president was briefed on measures being taken to overcome the shortage of gas. According to Zharkeshov, the measures that have already been implemented will ensure a surplus of natural gas in Kazakhstan during the upcoming autumn-winter period.

Tokayev was also informed about the company's financial and economic performance in January-June 2023 and was told about the progress of ongoing reforms in the gas industry.

Zharkeshov gave the president an update on the construction of a second pipe along the Beineu-Bozoi-Shymkent gas pipeline. He also told the head of state that QazaqGaz has signed of a new export contract with the People's Republic of China.

In addition, Tokayev was briefed on the progress of a medium-term strategy for the gas industry and was informed about the company's plans to increase its gas processing capacity and to develop the domestic gas supply infrastructure.

The press service of QazaqGaz told Interfax that the contract with China had not been inked yet but preparations as necessary to sign this contract are underway.

In May 2023, QazaqGaz and CNPC signed an agreement of cooperation in natural gas supply and geological exploration.

"The agreement will allow the companies to continue mutually beneficial cooperation in the field of natural gas supplies, as well as geological exploration. The document also lays the foundation for the construction of the second string of the Beineu-Bozoi-Shymkent gas pipeline," QazaqGaz said earlier.

QazaqGaz, formerly KazTransGas, is the national gas operator in Kazakhstan, including gas exploration, production, transportation and distribution. QazaqGaz operates gas pipelines totaling about 76,000 km in length, including 20,000 km of large pipelines with a yearly throughput capacity of 267.8 billion cubic meters of gas and 56,000 km of gas distribution networks.