Energy Minister Yerlan Akkenzhenov has held today a meeting to discuss the construction of the Karachaganak Gas Processing Plant (GPP), Qazinform News Agency reports. Top officials of Samruk-Kazyna Fund, QazaqGaz, KazMunayGas national companies, LLP KMG Karachaganak and shareholders took part in the meeting.
During the meeting, QazaqGaz company has been designated as the sole operator of the strategic project, which will have a capacity of up to 5 billion cubic meters of gas per year. The construction of the plant is a directive set by Head of State and a key element of Kazakhstan’s 2029 Comprehensive Gas Industry Development Plan, Minister Akkenzhenov highlighted.
The project aims to meet the growing domestic demand for commercial gas and reduce dependence on imports by diversifying processing capacities, historically tied to the Orenburg Gas Processing Plant. During the meeting, Minister Akkenzhenov heard reports on the project’s current status: as of today, the economic feasibility has been confirmed, and an Agreement on the basic principles of cooperation has been signed with China’s CITIC Construction.
Preparations are underway for the FEED (front-end engineering design) stage, alongside work on land plot allocation, infrastructure, and raw materials supply. Participants also discussed negotiations with foreign shareholders of the Karachaganak project. Key issues include guaranteed gas supply, fair pricing to ensure market profitability, integration with the existing field infrastructure, and settlement of the gas evacuation fee mechanism.
Minister Akkenzhenov stressed that delays in negotiations are hindering the transition to active construction: “For Kazakhstan, this plant is of critical importance, and indefinite postponement of the project start is unacceptable. The state needs results. The project must be implemented dynamically and in strict accordance with our national economic interests.
We expect a constructive and prompt position from the consortium,” he said.