DOCSLIB.ORG

Special Energy Issue on Kazakhstan |December 2018

Total Page：16

File Type：pdf, Size：1020Kb

Download full-text PDF Read full-text
Special Energy Issue on Kazakhstan |December 2018 Special Energy Issue on Kazakhstan |December 2018 GENERAL ............................................................................................................................2 OIL & GAS PRODUCTION ....................................................................................................3 OIL & GAS EXPORT & TRANSPORTATION ...........................................................................6 PROCESSING & ENERGY .....................................................................................................7 CONTACTS..........................................................................................................................8 EXHIBITIONS IN KAZAKHSTAN ( Oil & Gas 2019) ................................................................9 The Economic Section of the Embassy of the Kingdom of the Netherlands in Kazakhstan intends to distribute this newsletter as widely as possible among Dutch institutions, companies and persons from the Netherlands. The newsletter summarises economic news from various Kazakhstani and foreign publications and aims to provide accurate information. However, the Embassy cannot be held responsible for any mistakes or omissions in the bulletin. SPECIAL ENERGY ISSUE, December 2018 Embassy of the Kingdom of the Netherlands GENERAL Kazakhstan to remain loyal to OPEC+ deal: minister Kazakhstan will continue fulfilling its obligations to OPEC in regards to the oil production level cuts, said Minister of Energy Kanat Bozumbayev at a briefing in Astana. Bozumbayev reminded of the OPEC and non-OPEC ministerial meeting held December 7 for discussing oil production cuts. He said the OPEC and non-OPEC countries are supposed to cut daily output in 2019 up to 1,2mn barrels. "Meanwhile, OPEC countries will cut oil production by 800,000bpd and non-OPEC states - by 400,000bpd," he added. He emphasized that Kazakhstan will strictly commit to its obligations in 2019, i.e. the country will cut its oil production by 40,000bpd. "We expect that oil production in March, April and May 2019 will be much lower than the indicators set which can be explained by some factors such as shutdown of the country's largest deposits - Tengiz, Karachaganak and Kashagan - for overhaul. We also expect output decline at mature deposits of Kyzylorda and Aktobe regions. For this reason, we hope that we will fulfill our obligations to the OPEC," said Bozumbayev, as reported by Kazinform. Kazakhstan oil output to hit record in 2018, says Energy Minister In 2018, Kazakhstan will produce 90.3 million tons of crude oil, Kazakh Minister of Energy Kanat Bozumbayev told a briefing at the Central Communications Service, summing up the work done in the outgoing year, Kazinform correspondent reports. "This year Kazakhstan will hit record by producing 90.3 million tons, which is 104.7 percent higher than in 2017," said Kanat Bozumbayev. In 2017, crude oil output amounted to 86.2 million tons. "Oil production within three major projects will be equal to 53.9 million tons, including 13.2 million tons (120 pct of the 2018 target) at the Kashagan Field, 28.6 million tons (103.3 pct of the 2018 target) at Tengiz, and 12.1 million tons (100.8 pct of the 2018 target) at Karachaganak," said Kanat Bozumbayev. According to the head of the Ministry of Energy, oil exports will reach 71.5 million tons, or 102.4 percent higher in contrast to 2017. Crude oil refined in 2018 will amount to 16.1 million tons, increasing by 8 percent over the previous year, according to KazInform. Company extracting a third of Kazakh oil is headed by a woman for the first time Imer Bonner was appointed the new CEO of the TCO after the previous head of Tengizchevroil Ted Atchison retired. "Indeed, it is a fact that only men have always occupied this post. But I do not expect any difficulties related to gender. All five years of work in Kazakhstan, both company executives and people in the government treated me with a very high level of respect, only my experience and the way I do my work was important," the CEO said. TCO produces about a third of Kazakhstan’s oil at one of the world's largest deposits, Tengiz. For three quarters of the current year, the company produced 21.5 million tonnes of oil, Kazakhstan produced 67.3 million tonnes as a whole. Last year, its share was 34%, and the amount of taxes paid and other obligatory payments exceeded 1 trillion tenge. The company is the largest taxpayer in Kazakhstan. In 9 months, goods and services of local suppliers were purchased for $2.5 billion. Prior to her current appointment, Imer Bonner worked for three years as the General Manager of TCO for Production, and in 2012–2013 she held the position of Deputy Managing Director of the Eurasian Division of Chevron Corporation in Almaty. TCO's General Director earned a bachelor's degree in chemical engineering at the University of Queens in Belfast and two master's degrees at Imperial College in London with the specialties of chemical industry technology and oil and gas production. Prior to arriving in Kazakhstan, she held technical and management positions at Chevron Corporation offices in the UK, USA and Thailand. Tengizchevroil was established in 1993 as a joint venture of the government of Kazakhstan and Chevron Corporation on a parity basis. Now Chevron owns 50% of TCO, ExxonMobil - 25%, KazMunayGaz - 20%, Russian LukArko - 5%, according to Forbes Kazakhstan. 2 SPECIAL ENERGY ISSUE, December 2018 Embassy of the Kingdom of the Netherlands OIL & GAS PRODUCTION Kazakhstan names most profitable state-owned companies According to the results of 9 months of 2018 among state-owned companies of Kazakhstan, KMG received the largest amount of profit at the amount of 648.2 billion tenge or 1.7 billion US dollar, which is 43% more than in 2017. The net profit of KazTransGas gas transmission company increased by 135% to 156.2 billion tenge or 415 million US dollar. Kazatomprom nuclear company increased its profit by 67% to 92.9 billion tenge or 247 million US dollar. The Kazakh Telecom telecommunications company posted a profit of 40.4 billion tenge (107 million US dollar) and Tau-Ken Samruk mining company with 39.1 billion tenge (104 million US dollar) also entered the TOP 5 in terms of net profit. A significant amount of KMG profits is associated with an increase of world oil prices. Revenue for the first 9 months of 2018 amounted to 5.2 trillion tenge (15.5 billion US dollar), which is 62% higher than the same period in 2017. The production of oil and gas condensate of KMG for 9 months of 2018 amounted to 17.6 million tonnes of oil, which is only 1% higher than the figure for the same period in 2017. KazMunaiGaz is a Kazakhstani operator for the exploration, production, processing and transportation of hydrocarbons, representing the interests of the state in the oil and gas industry of Kazakhstan. Founded in 2002, KMG has more than 190 subsidiaries. The founder of KMG is the government of Kazakhstan represented by the State Property and Privatisation Committee of the Ministry of Finance of Kazakhstan. The shareholders of KMG are Samruk-Kazyna National Welfare Fund (90%) and the National Bank of Kazakhstan (10% + 1 share). Kazakhstan ranks 12th in the world in proven reserves of oil and gas condensate, 22nd in terms of natural gas reserves and 17th in terms of oil and gas production. KMG produces 28% of the total oil and gas condensate production in Kazakhstan and 16% of natural and associated gas, provides 65% of oil transportation by trunk pipelines, 77% of oil transportation by tankers from Aktau port, and 95% of transportation gas through trunk pipelines, processes 82% of Kazakhstan’s oil, with a 17% share of the retail market for oil products. The company is among the largest employers in Kazakhstan with a staff of more than 89 thousand people, as reported by Neftegaz (Russia). Kazakhstan to reduce oil production by 30-40 thousand barrels per day Kazakhstan will reduce oil production under the OPEC + agreement by 30-40 thousand barrels per day, the Minister of Energy of Kazakhstan, Kanat Bozumbayev, said. According to the minister, the extension of the OPEC + agreement to reduce oil production is possible if the market for oil does not come to a balance. "This agreement is for 6 months. Its extension is possible if the market is not balanced. If it is balanced, there will be no sense," he added. On December 7, the parties to the OPEC + agreement (all OPEC member countries and 11 independent states, including Kazakhstan) agreed to extend the deal for 2019. According to its conditions, the overall level of oil production will be reduced by 1.2 million barrels per day, according to RIA News. Oilfield services in Kazakhstan: modernise or perish Oilfield services is a sphere without which the existence of the oil and gas industry, which is key for the economy of Kazakhstan, is impossible. Oilfield service companies conduct geological exploration, design, drill, build roads and shift camps, lay pipes, repair equipment and supply oilmen with everything they need. In other words, full-fledged work of the oil and gas sector is possible only with the active participation of oilfield service companies. The annual turnover in the oil service industry of Kazakhstan is steadily growing. If in 2015 it amounted to 1.3 trillion, then in 2016 this amount exceeded 2 trillion, and by the end of 2017, the turnover of the oilfield services industry amounted to more than 2.3 trillion tenge. The share of 3 SPECIAL ENERGY ISSUE, December 2018 Embassy of the Kingdom of the Netherlands Kazakhstani companies in it is 52%, that is, about 7 billion dollar a year. It would seem that the numbers are impressive, but if you dig deeper, the picture doesn't seem so joyful. One of the leading experts in the oil and gas industry of the country, the chief researcher of the Institute of Economics of the Scientific Committee of the MES, doctor of economic sciences Oleg Yegorov, told the real problems that exist today in the oilfield services market in Kazakhstan.
Load more

Recommended publications
  • 3. Energy Reserves, Pipeline Routes and the Legal Regime in the Caspian Sea
    3. Energy reserves, pipeline routes and the legal regime in the Caspian Sea John Roberts I. The energy reserves and production potential of the Caspian The issue of Caspian energy development has been dominated by four factors. The first is uncertain oil prices. These pose a challenge both to oilfield devel- opers and to the promoters of pipelines. The boom prices of 2000, coupled with supply shortages within the Organization of the Petroleum Exporting Countries (OPEC), have made development of the resources of the Caspian area very attractive. By contrast, when oil prices hovered around the $10 per barrel level in late 1998 and early 1999, the price downturn threatened not only the viability of some of the more grandiose pipeline projects to carry Caspian oil to the outside world, but also the economics of basic oilfield exploration in the region. While there will be some fly-by-night operators who endeavour to secure swift returns in an era of high prices, the major energy developers, as well as the majority of smaller investors, will continue to predicate total production costs (including carriage to market) not exceeding $10–12 a barrel. The second is the geology and geography of the area. The importance of its geology was highlighted when two of the first four international consortia formed to look for oil in blocks off Azerbaijan where no wells had previously been drilled pulled out in the wake of poor results.1 The geography of the area involves the complex problem of export pipeline development and the chicken- and-egg question whether lack of pipelines is holding back oil and gas pro- duction or vice versa.
    [Show full text]
  • 2D Seismic Survey in Block AD- 10, Offshore Myanmar
    2D Seismic Survey in Block AD- 10, Offshore Myanmar Initial Environmental Examination 02 December 2015 Environmental Resources Management www.erm.com The world’s leading sustainability consultancy 2D Seismic Survey in Block AD-10, Environmental Resources Management Offshore Myanmar ERM-Hong Kong, Limited 16/F, Berkshire House 25 Westlands Road Initial Environmental Examination Quarry Bay Hong Kong Telephone: (852) 2271 3000 Facsimile: (852) 2723 5660 Document Code: 0267094_IEE_Cover_AD10_EN.docx http://www.erm.com Client: Project No: Statoil Myanmar Private Limited 0267094 Summary: Date: 02 December 2015 Approved by: This document presents the Initial Environmental Examination (IEE) for 2D Seismic Survey in Block AD-10, as required under current Draft Environmental Impact Assessment Procedures Craig A. Reid Partner 1 Addressing MOECAF Comments, Final for MOGE RS CAR CAR 02/12/2015 0 Draft Final RS JNG CAR 31/08/2015 Revision Description By Checked Approved Date Distribution Internal Public Confidential CONTENTS 1 EXECUTIVE SUMMARY 1-1 1.1 PURPOSE AND EXTENT OF THE IEE REPORT 1-1 1.2 SUMMARY OF THE ACTIVITIES UNDERTAKEN DURING THE IEE STUDY 1-2 1.3 PROJECT ALTERNATIVES 1-2 1.4 DESCRIPTION OF THE ENVIRONMENT TO BE AFFECTED BY THE PROJECT 1-4 1.5 SIGNIFICANT ENVIRONMENTAL IMPACTS 1-5 1.6 THE PUBLIC CONSULTATION AND PARTICIPATION PROCESS 1-6 1.7 SUMMARY OF THE EMP 1-7 1.8 CONCLUSIONS AND RECOMMENDATIONS OF THE IEE REPORT 1-8 2 INTRODUCTION 2-1 2.1 PROJECT OVERVIEW 2-1 2.2 PROJECT PROPONENT 2-1 2.3 THIS INITIAL ENVIRONMENTAL EVALUATION (IEE)
    [Show full text]
  • Kashagan and Tengiz
    KashaganandTengiz—CastorandPollux DanielJohnstonandDavidJohnston AdaptedfromPetroMinMagazine–15December,2001. The recently announced super giant Kashagan discovery in the Kazakhstan sector of the NorthCaspianSeaistheworld’slargestdiscovery in three decades. Kashagan, located in shallowwater,isananalogtotheonshoreTengizfieldlocatedapproximately130to150km (85miles)tothesoutheast. KashaganandTengizarethetwolargestfieldsinKazakhstan—theiroilreservesalonerival theUnitedStates22Billionbarrelsofoil,yettheyhavehardlybeguntoproduce.Tengizin 10yearsofproductionhasproducedlessthan10%ofit’srecoverablereserves.Andwhile Kashaganwasonlyjustdiscovered,thereareothersimilarstructuresintheKashaganlicense areathatareyetundrilled.Overall,thedevelopmentcostswilllikelycosttensofbillionsof dollars but revenues to the Contractor group (the oil companies) and the Kazakhstan Governmentcouldexceed onetrilliondollars . TheKashaganprospect,(Figure1)namedafterthegreatKazakhpoet,wasidentifiedbythe Soviets in the early 1970s. However, the extremely promising prospect, located in an environmentallysensitiveandhighcostenvironment,wasnotdrilledatthattime. Threewellshavebeendrilledonthestructuresincelate2000andtheprospecthaslivedupto it’spromise.Appropriately,theKashaganproduction sharingagreement (PSA) is about as 1 famousasthediscovery. Every single percentage point (1%) take (either Government or Contractor take) could representfrom$1.5to$2billioninprofitsforthefirst10billionbarrelsalone.Thisisabig one. Thediscoveryisratedat6.4to100billionbarrels. 2However,itislikelythatagoodworking
    [Show full text]
  • Central Asia's Oil and Gas Reserves
    JANUARY 23-25, 2010 THUN, SWITZERLAND EURASIA EMERGING MARKETS FORUM Central Asia’s Oil and Gas The Emerging Markets Forum was created by the Centennial Group as a not-for-prot Reserves: initiative to bring together high-level government and corporate leaders from around the To Whom Do world to engage in dialogue on the key economic, nancial and social issues facing They Matter? emerging market countries. Martha Brill Olcott The Forum is focused on some 70 emerging market economies in East and South Asia, Eurasia, Latin America and Africa that share prospects of superior economic performance, already have or seek to create a conducive business environment and are of near-term interest to private investors, both domestic and international. Our current list of EMCs is shown on the back cover. We expect this list to eveolve over time, as countries’ policies and prospects change. Further details on the Forum and its meetings may be seen on our website at http://www.emergingmarketsforum.org Emerging The Watergate Oce Building, 2600 Virginia Avenue, NW, Suite 201 Markets Forum Washington, DC 20037, USA. Tel:(1) 202 393 6663 Fax: (1) 202 393 6556 A nonprofit initiative of the Centennial Group Email: [email protected] Bringing people together to accelerate growth and well-being in emerging markets Central Asia’s Oil and Gas Reserves: To Whom Do They Matter? Martha Brill Olcott¹ Summary Iolathan-Osman gas field, a field confirmed as one of the world’s top five deposits in an independent audit It seems like anytime one opens the business section by Gaffney, Cline and Associates.
    [Show full text]
  • Production of First Barrels of Oil from the Kashagan Field in the North Caspian Sea, the Republic of Kazakhstan
    September 12, 2013 NEWS RELEASE ｗｗｗ.jogmec.go.jp Japan Oil, Gas and Metals National Corporation Contact: Project Department TEL：03-6758-8668 Media Relations: Public Relation Division TEL：03-6758-8106 Production of First Barrels of Oil from the Kashagan Field in the North Caspian Sea, the Republic of Kazakhstan JOGMEC (President: Hirobumi Kawano) announced today that the first well was opened and initial volumes of oil are being produced from the giant Kashagan field in the North Caspian Sea, the Republic of Kazakhstan on 11 September 2013, where INPEX North Caspian Sea Ltd. participates enjoying JOGMEC’s equity financing and loan guarantee programs. The giant Kashagan field is located 80 km offshore Atyrau in the northern part of the Caspian Sea of the republic of Kazakhstan with spanning an area of 75km by 45km; water depth 3-5 m; 4,200 m below the seabed. North Caspian Production Sharing Agreement (NCSPSA）was signed 1997 with the government of the Republic of Kazakhstan, the oil discovery was declared in 2000 followed by declaration of commerciality in 2004. INPEX North Caspian Sea Ltd. acquired the participating interest in September 1998 and has proceeded the development of the giant Kashagan field with consortium partners of KazMunayGas (KMG), Eni, Shell, ExxonMobil, Total, ConocoPhillips through the project operator NCOC. The production rate in the initial period is planned at 180,000 barrels per day (b/d). Thereafter the production is anticipated to be progressively ramped up towards a production capacity of 370,000 b/d. ■ Background Information 1. Corporate Data: INPEX North Caspian Sea Ltd.
    [Show full text]
  • Special Energy Issue on Kazakhstan |April 2018
    Special Energy Issue on Kazakhstan |April 2018 CONTENTS GENERAL ........................................................................................................................... 1 OIL & GAS PRODUCTION .................................................................................................. 3 OIL & GAS EXPORT & TRANSPORTATION ......................................................................... 3 OIL & GAS INFRASTRUCTURE ........................................................................................... 5 PROCESSING & REFINERY ................................................................................................. 6 RENEWABLE ENERGY ........................................................................................................ 6 INDUSTRY EVENTS IN 2018 .............................................................................................. 7 CONTACTS ........................................................................................................................ 7 The Economic Section of the Embassy of the Kingdom of the Netherlands in Kazakhstan intends to distribute this newsletter as widely as possible among Dutch institutions, companies and persons from the Netherlands. The newsletter summarises economic news from various Kazakhstani and foreign publications and aims to provide accurate information. However, the Embassy cannot be held responsible for any mistakes or omissions in the bulletin. SPECIAL ENERGY ISSUE, April 2018 Embassy of the Kingdom of the Netherlands GENERAL
    [Show full text]
  • New Insights Into Hydrocarbon Plays in the Caspian Sea, Kazakhstan
    introductionThematic Article18X10.1144/1354-079311-045D. Okere & S. ToothillNew insights into hydrocarbon plays, Caspian Sea 2011-0452012 Downloaded from http://pg.lyellcollection.org/ at Oregon State University on December 1, 2014 New insights into hydrocarbon plays in the Caspian Sea, Kazakhstan Davies Okere* and Steve Toothill Multi-client and Global New Ventures Geoscience, CGGVeritas Services (UK) Ltd, Crompton Way, Manor Royal Industrial Estate, Crawley RH10 9QN, UK *Corresponding author (e-mail: [email protected]) ABSTRACT: New exploration opportunities and improved imaging of already known prospects in the Caspian Sea, Kazakhstan, are presented, based on the acquisition, processing and interpretation of long-offset 2D seismic data acquired by CGGVeritas from 2006–2009. We have identified further examples of three already successful plays in the Caspian Sea and onshore, within open blocks in the North Caspian and North Ustyurt basins and a fourth, relatively unknown play, in the North Ustyurt basin. The already known plays include Devono-Carboniferous carbonate reefs and clastics, Triassic–Tertiary post-salt clastics and carbonates in the North Caspian basin and Jurassic–Cretaceous post-thrust clastics and carbonates in the North Ustyurt basin. The fourth play that we have identified comprises thrust faults, anticlinal structures with Late Palaeozoic–Early Mesozoic clastic and carbonate reservoirs in the North Usty- urt basin which, to our knowledge, has not been tested elsewhere in the region. INTRODUCTION both onshore and offshore have been identified in the open blocks offshore and these are estimated to hold significant The study area is situated in the northernmost part of the hydrocarbon reserves in the northern Caspian Sea.
    [Show full text]
  • Offshore Oil and Gas Industry of Russia and CIS Volume 1
    Offshore Oil and Gas Industry of Russia and CIS. Volume 1 4 Offshore Hydrocarbon Reserves and Resources in the Caspian and Black Seas and the Sea of Azov The Caspian, Black Sea and the Sea of Azov subsoil needs substantial supplemental exploration. First of all, such exploration is necessary for the Russian sectors of the Black Sea and the Sea of Azov, where until now, exploration has been limited to seismic studies. As a result, estimates of reserves and resources vary widely over time, and can either increase (in most cases) or decrease. An indirect evidence of poor geological knowledge of the Caspian and Black Sea and the Sea of Azov subsoil is the suspension of many projects due to failure to confirm reserves after exploration drilling (such as Inam in Azerbaijan and Tyub-Karagan, Atash and Kurmangazy in Kazakhstan). 4.1. Caspian Sea Exploration of the Caspian Sea for hydrocarbons started in the mid-1940s, and was performed mostly in Azerbaijan and Turkmenistan. At the same time, the Middle and Northern Caspian remained unexplored. The main deterrent was a lack of environmentally safe exploration and development methods for offshore fields in highly sensitive ecological systems. In the mid-1970s, the Northern Caspian was designated the status of a preserved area. Exploration was concentrated mainly in the Southern Caspian until the collapse of the USSR. 2D seismic studies of 225,000 linear kilometers were performed from 1980 to 1992; of this, more than two thirds (149,000 kilometers) covered the Southern Caspian, 51,000 kilometers were in the Middle Caspian, and only 25,000 kilometers were in the Northern Caspian.
    [Show full text]
  • Kazakhstan Oil and Gas Tax Guide 2021 Contents
    Kazakhstan oil and gas tax guide 2021 Contents Introduction 1 Background on the oil and gas industry in Kazakhstan 2 Taxation of subsurface users in Kazakhstan 5 Transfer pricing 16 Introduction This guide is intended to provide a general overview of taxation in the oil and gas sector in Kazakhstan. As this guide provides a high-level summary of the taxation regime effective on the date of preparation of this guide, it is not a substitute for comprehensive professional advice, which should be sought before engaging in any transaction. It should also be noted that in this guide we do not deal with all of the taxes of Kazakhstan. Here we cover only the most significant ones applicable to companies operating in the oil and gas sector, so advice should be taken as to the actual taxes applicable to a particular company. Kazakhstan oil and gas tax guide. 2021 | 1 Background on the oil and gas industry in Kazakhstan According to the latest GDP forecast by the Ministry of National Economy of The oil and gas industry of Kazakhstan, growth in 2021 will be 2.8%. Kazakhstan’s economic growth is largely Kazakhstan plays an important driven by oil and gas revenues (35% of GDP and 75% of exports). role in the economic development of the republic. It is one of the Since declaring independence, Kazakhstan has passed a series of reforms to main drivers of gross domestic liberalize its economy and attract foreign investment. However, sanctions imposed product (GDP) growth and an on Russia and negative growth prospects have more recently deterred foreigners important source of national from investing in the region.
    [Show full text]
  • Country Analysis Brief: Kazakhstan
    Country Analysis Brief: Kazakhstan Last Updated: May 10, 2017 Overview Kazakhstan, an oil producer since 1911, has the second-largest oil reserves and the second-largest oil production among the former Soviet republics after Russia. Kazakhstan is a major oil producer. The country’s estimated total petroleum and other liquids production was 1.698 million barrels per day (b/d) in 2016. The key to its continued growth in liquids production from this level is the development of its giant Tengiz, Karachaganak, and Kashagan fields. Development of additional export capacity will also be necessary for production growth. Although Kazakhstan became an oil producer in 1911, its production did not increase to a meaningful level until the 1960s and 1970s, when production plateaued at nearly 500,000 b/d, a pre-Soviet independence record production level. Since the mid-1990s, and with the help of major international oil companies, Kazakhstan's production first exceeded 1 million b/d in 2003. Oil field development in Kazakhstan reached two milestones in 2016. In October 2016, the giant Kashagan field resumed production after years of delays. Kashagan is expected to produce 370,000 b/d of liquids at full capacity. Additionally, in July 2016, The Tengizchevroil consortium decided to proceed with expansion plans that should increase liquids production at the Tengiz project by about 260,000 b/d beginning in 2022. Kazakhstan is landlocked and is far from international oil markets. The lack of access to the open ocean makes the country dependent mainly on pipelines to transport its hydrocarbons to world markets. Kazakhstan is also a transit country for oil and natural gas pipeline exports to China.
    [Show full text]
  • Download PDF (727.9
    -4^ 28. Geographical Distribution of Exports of Energy Products to the Baltics, and Other States of the Former Soviet Union, 1998-2002 100 29. Geographical Distribution of Exports, 1998-2002 101 30. Geographical Distribution of Imports, 1998-2002 102 31. Breakdown of Foreign Direct Investment by Country of Origin, 1998-2002 103 33. Breakdown of Foreign Direct Investment by Industry, 1998-2002 104 34. Stock of External Debt, 1998-2002 105 Attachment International Agreements Related to Trade and Investment 54 - 5 - I. THE PETROLEUM SECTOR—AN OVERVIEW OF DEVELOPMENTS, ISSUES AND PROSPECTS1 A. Introduction 1. Kazakhstan's petroleum sector continues to develop rapidly and highly favorable prospects for the medium-to-long-term are becoming more concrete. Large and rising investment, almost entirely from abroad, continue to flow to the still relatively young sector. In addition to the rapid development of existing onshore petroleum fields, development of potentially much larger reserves in the offshore Caspian region is about to begin. Proven and probable crude oil reserves are now estimated to approach the 30 billion barrel mark. The petroleum sector accounts for almost one quarter of GDP and about one-half of export earnings. Importantly, Kazakhstan secured in 2002 several strategic agreements with Russia—on the delimitation of the Caspian Sea bed and improved access to oil and gas pipelines to western markets—which further significantly secure the medium-term outlook. 2. Over the long term (15-20 years), Kazakhstan can reasonably expect crude production to approximately triple to around 3 million barrels a day (bpd), of which at least one third would come from the Caspian Sea.
    [Show full text]
  • Eni Exploration & Production in Kazakhstan
    Eni Exploration & Production in Kazakhstan September 2015 Eni milestones in Kazakhstan | 1992 | 2002 | 2012 Eni acquired the exclusive right to explore and produce Kalamkas field discovery National Company to negotiate the development hydrocarbons at the ”KazMunayGas” officially entered of Karachaganak field under Kashagan field | 2003 Karachaganak Joint Venture PSA regime Aktoty and Kairan fields’ discovery | 1999 The Karachaganak Phase 2 | 2014 | 1993 Karachaganak Phase 2 of development completed. North Caspian Operating The Kazakhstan Caspyi Shelf of development started President of Kazakhstan, Company N.V. appointed as Consortium Agreement Nursultan Nazarbayev, a single entity operator of the was signed, providing 11 blocks | 2000 NCSPSA activities inaugurated “First Oil” of Phase 2 in the North Caspian Sea with Kashagan field discovery 2 Eni and National Company acreage 5.500 km | 2004 “KazMunaiGas” signed strategic | 2001 Approval of the Kashagan agreement which defines | 1997 A subsidiary of Eni, Agip Development Plan and Budget principal terms of cooperation Both the Karachaganak Final Caspian Sea B.V., selected for the joint development of the Production Sharing Agreement as sole operator under | 2005 Isatay block located in the (FPSA) and the North Caspian NCSPSA. Such role was National Company Kazakhstan Sector of the Caspian Sea Production Sharing delegated to Agip “KazMunayGas” officially entered Sea and construction of a ship Agreement (NCSPSA) were signed Kazakhstan North Caspian the Kashagan Project building and ship repair yard Operating Company N.V. in Kuryk - Mangistau region | 1998 (Agip KCO) | 2009 Eni appointed co-operator with President of the Republic NCOC became operator under | 2015 BG for Karachaganak field of Kazakhstan, Nursultan the NCSPSA with Agip KCO “KazMunaiGas” and Eni finalized Offshore Kazakhstan Nazarbayev, opened maintaining the responsibility an agreement that defines the International Operating Company a new power station at the as designated agent for Kashagan commercial terms of the transfer N.V.
    [Show full text]