THE ASSOCIATED GAS OF KASHAGAN WILL BE PROCESSED

KazTransGas JSC and NCOC signed an agreement on the provision of services for the extraction of raw associated gas

Considering the growing demand of the Republic of Kazakhstan for commercial gas, the National Operator KazTransGas JSC (KTG) and North Caspian Operating Company N. V. (NCOC) signed an agreement on the provision of services for the extraction of raw associated gas. This project is being implemented with the support of the Government of the Republic of Kazakhstan and the Ministry of Energy. The implementation of the project will give a significant impetus to the development of the gas processing industry and the creation of plants by domestic companies according to international standards. This is in line with the country’s gas industry development strategy and the instructions of the President for the full-scale development of Kashagan.

NCOC (operator of the SRPSK) and KTG (operator appointed by the Republic of Kazakhstan) have reached an agreement and signed an Agreement according to which NCOC will supply 1,150 billion cubic meters of sulfur dioxide per year from the Kashagan field, and KTG will process this sulfur dioxide to the quality of commercial gas.

This project will allow NCOC to increase the level of production at Kashagan to approximately 450 thousand barrels per day by 2023.

The increase in the resource base of commercial gas will assist in the implementation of the plans of the Government of the Republic of Kazakhstan to increase gas exports and support domestic demand, as well as contribute to the further development of Kazakhstan as a significant participant in the gas market in the Central Asian region.