QazaqGaz and Chinese Geo-Jade to jointly develop Pridorozhnoye gas field in Kazakhstan

ALMATY. Oct 18 (Interfax) - Chairman of the Board of QazaqGaz Sanzhar Zharkeshov and President of the Chinese Geo-Jade Petroleum Corporation Day Xiaoping signed an agreement on the basic principles of development of the Pridorozhnoye gas field, the press service of the Kazakh company reported.

The agreement was signed under the auspices of the One Belt, One Road summit in Beijing.

"The document will become the basis for the joint development of the Pridorozhnoye gas field. It is expected that design work will begin in 2024," the information says.

In May, QazaqGaz and Geo-Jade Petroleum Corporation entered into an agreement on cooperation in geological exploration to search for gas deposits in Kazakhstan, which led to the signing of the new agreement, the company said.

The Pridorozhnoye deposit, opened in 1975, is located in the Suzak district of the Turkestan region of Kazakhstan. The State Reserves Commission confirmed the presence of natural gas at depths of 1450m and 2600m in an amount of 16.5 bcm.

QazaqGaz is a portfolio company of the Samruk-Kazyna state fund. The company manages a centralized infrastructure for the transportation of commercial gas through main gas pipelines and gas distribution networks, is engaged in international transit and sells gas on the domestic and foreign markets. It also develops, finances, builds and operates pipelines and gas storage facilities.

Geo-Jade Petroleum Corporation (formerly Hainan Zhenghe Group Co. Ltd) was founded almost 40 years ago. Its main business is the exploration and development of oil and gas fields. The company also plans to invest in oil and gas pipeline transportation, warehousing and logistics, a distribution network, and oil and gas processing facilities.