Kazakhstan: Major Oil and Natural Gas Projects
Return to Kazakhstan Country Analysis Brief (May 2008)
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Projected Investment | Project Status |
| Abai | Kazmunaigaz, Statoil | 2.8 billion barrels of oil | Kazmunaigaz signed a MOU with Statiol. | |
| Aktobe | CNPC Aktobemunaigaz (88%), (within Block ADA partners include Korean National Oil Corp (KNOC), LG International Corp, Vertom) | 1.17 billion barrels of oil | $4.1 billion | JV Producing 116,660 bbl/d of oil ( 2008), 101 Bcf/y of natural gas (2007). Oil production more than doubled between 1997 and 2006. New field Umit discovered in 2005. |
| CPC: (Tengiz-Novorossiysk Pipeline) | Caspian Pipeline Consortium (CPC): Russia 24%; Kazakhstan 19%; Chevron (U.S.) 15%; LukArco (Russia/U.S.) 12.5%; Rosneft-Shell (Russia-U.K./Netherlands) 7.5%; ExxonMobil (U.S.) 7.5%; Oman 7%; Agip/Eni (Italy) 2%; BG (U.K.) 2%; Kazakhstan Pipeline Ventures LLC 1.75%; Oryx 1.75% | 990 mile oil pipeline from Tengiz oil field in Kazakhstan to Russian's Black Sea port of Novorossiisk; Phase I capacity: 565,000 bbl/d; Phase II capacity: 1.34 million bbl/d (2015) | $2.6 billion for Phase 1; $4.2 billion total when completed | First tanker loaded in Novorossiisk (10/01); Target expansion to to 1.3 million bbl/d by 2010. |
| Darkhan | Kazmunaigaz (Kaztransgas), possibly Chinese consortium including CNPC, and Repsol | 11 billion barrels of oil | Negotiations still underway with Chinese consortium. Located between the two offshore fields of Kurmangazy and Karazhambas | |
| Egizkara | LG Internatinal Corp (50%), Others | 200 million barrels of oil | Exploration beginning in October 2006 with drilling starting in late 2007 | |
| Emba | Kazakhoil-Emba (Kazmunaigaz subsidiary) 51%, MOL Rt, Vegyepszer (Hungary) combined 49% | 500 million barrels of oil | -- | Producing 56,000 bbl/d of oil (2008); produced 5.58 Bcf of natural gas (2007). 37 fields and over 2,000 producing wells. |
| Istatai | Undisclosed | 1.75 billion barrels of oil | Negotiations with undisclosed partner continuing. | |
| Karachaganak | Karachaganak Integrated Organization (KIO): Agip (Italy) 32.5%; BG (U.K.) 32.5%; Chevron (U.S.) 20%; Lukoil (Russia) 15% | 2.3-6 billion recoverable barrels of oil & gas condensate reserves; 16-46 Tcf of recoverable natural gas reserves | $4 billion for Phase Two (completed in 2004) | Producing 252,000 bbl/d of oil (2008), 70% of oil exported through CPC. Produced 421 Bcf in 2007. |
Karakuduk |
Lukoil | Total estimated proved plus probable reserves of approximately 63 million barrels | $190 million through 200 with $170 million expected between 2006-2010 | Producing 24,000 bbl/d of oil (2008) 2.1 Bcf in 2007. |
| Karazhanbas | Nations Energy | 400 million barrels of oil | $250 million since 1997, $120 million in 2005 | Producing 44,800 bbl/d (2005), (80-90 thousand bbl/d planned in next 2 years); produced 1.8 mmcf/d natural gas (2005) |
| Kashagan | Agip Kazakhstan North Caspian Operating Company (Agip KCO) (formerly OKIOC): Eni, Total, ExxonMobil, and Shell (16.66%), ConocoPhillips (8.28%), Kazmunaigaz (16.81%), Inpex (8.28%) | 9 billion to 13 billion recoverable (up to 38 billion probable) | Origionally costed at $29 billion but estimates put final total approacing $50 billion | Production starting no sooner than 2012 (initial production slated for 75,000 bbl/d, max 1.2 million bbl/d by 2015) |
| Kazgermunai | Petrokazakhstan (25%)*, Kazmunaigaz 50% | 100 million barrels of oil | $300 million | Produced 37,300 bbl/d of oil; 32 mmcf/d of natural gas (2005) |
| Khvalinskoye | Kazakhstan and Lukoil | 400 million barrels of oil. 12.3 trillion cubic feet of natural gas. Target start date 2014 |
$3.5 billion for petrochemicals plant. | Field is located on the Kazakh-Russian border in the Caspian Sea and is Russia's jurisdiction. Agreement being prepared during 2007, signing expected during 2008.. |
| Kumkol (North) | Turgai Petroleum: Petrokazakhstan (50%)*, and Lukoil (Russia) | 97-300 million barrels of oil | -- | Producing 71,000 bbl/d of oil, 18.3 mmcf/d of natural gas (2007), Legal dispute between PKZ and Lukoil has stopped production in the past |
| Kumkol South and South Kumkol | PetroKazakhstan Kumkol Resource (PKKR), wholly owned by PetroKazakhstan* | 116 million barrels of oil | Producing 74,000 bbl/d of oil, 18.1 mmcf/d of natural gas (2007); Development of export pipeline infrastructure will allow for production growth | |
| Kurmangazy | AO Kazmunaiteniz Offshore Oil Company (a KazMunaiGaz subsidiary) 50%, Rosneft subsidiary OOO RN-Kazakhstan (25%). Russia's Zarubezhneft has an option on 25% in the project. | 2.2-8.8 billion barrels of oil | $23 billion allocated over 55 years. | Russia and Kazakhstan signed PSA in July 2005; Start date of 2010, Rosneft reports first assessment well drilled in 2006 yielded disappointing results, although additional drilling is scheduled. |
| Mangistau | Mangistaumunaigaz (Kazmunaigaz subsidiary). | 500 million barrels of oil | -- | Producing 112,000 bbl/d of oil, 33.3 mmcf/d of natural gas (2008) |
| North Buzachi | Lukoil (50%), China National Petroleum Corp. (50%) | 1 to 1.5 billion barrels of oil | Over $800 million | Producing 33,000 bbl/d of oil, 4.5 mmcf/d of natural gas (2008), Accelerated development plan approved in 2004 |
| Nursultan ("N" Block) | Kazmunaigas operating independently. ConocoPhilips, Shell had been mentioned as participants | 4.65 billion barrels of oil | PSA signed in 2008. $40 million allocated. | |
| Satpayev | Kazmunaigaz, Oil and Natural Gas Corp. (ONGC) | 1.85 billion barrels of oil | PSA expected to be signed in 2007 | |
| Tengiz | TengizChevroil (TCO): Chevron (U.S.) 50%; ExxonMobil (U.S.) 25%; Kazmunaigaz 20%; LukArco (Russia) 5%, discovered in1979, agreement signed in 1993 | 9 billion barrels of oil | $23 billion over 40 years | Producing 350,000 bbl/d of oil (2008); expected max production of 1 mill. bbl/d by 2012; produced 580 mmcf/d of natural gas in 2005 |
| Tsentralnoye | Kazmunaigas, Gazprom, Lukoil | 3.8 billion barrels of oil, and 3.24 Tcm | N/A | A first deep-water exploration well is to be drilled at the end of 2007 |
| Tyub-Karagan | LUKoil (50%), Kazmunaigaz (50%) | 7 billion barrels of oil | 2006 exploration well yielded disappointing results. Second delayed until 2008. PSA signed in 2004 covers Tyub-Karagan and adjacent Atashskaya field in Kazakh sector of Caspian Sea. Plateau production forecast at 144,000 b/d. | |
| Uzen | Uzenmunaigaz (Kazmunaigaz subsidiary) 100% | 147 million barrels of oil |
-- | Producing 132,000 bbl/d of oil (2008), 29.8 Bcf of natural gas (Jan-Sep 2004), 30% improvement from 2003 from advanced technologies |
| Zhambyl | Kazmunaigaz (73%), Korean National Oil Consortium (27%) KNOC: KNOC (35%), SK Corp (25%), LG Corp (20%), Daesung and Samsung (10% each) | 1.26 billion barrels of oil | -- | Memorandum of understanding signed by Kazakh government and South Korean consortium (KNOC). |
| Zhanazhol | CNPC Aktobemunaigaz which is 85.4% owned by CNPC (94.5% of voting shares). Other Kazakhstani and foreign entities own 5.07% of ordinary shares (5.5% of voting shares). 9.53% of preferred nonvoting shares belong to the enterprise's employees and other parties. | -- | -- | 20 year license signed in 1995. Field discovered in 1978. |
Zhemchuzina (aka Pearls Block) |
Shell (55%), Kazmunaigaz (25%), Oman Oil Company (20%) | 733 million barrels of oil | Plan to set up a joint operating company by the end of 2006 with Shell financing 100% of the appraisal program | |
* CNPC acquired PetroKazakhstan and its assets in Kazakhstan in October 2005 and sold a 33.3% stake in PetroKazakhstan to Kazmunaigaz in order to secure Kazakh government approval for the deal.Production figures for many of these entities, if producing, can be obtained from Energy Intelligence's Nefte Compass publication. |
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Sources: FSU Oil and Gas Monitor, Reuters, Interfax, WMRC/Global Insight, Company Websites, Caspian Investor (www.wtexec.com)
Other Useful Links:
IMF Kazakhstan Country Report 2004 (page 24)
Nelson Resources Field Page
Caspian Pipeline Consortium (CPC) Homepage
Kazmunaigaz Homepage (in English)
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Last Updated:
May 1, 2008
Contact:
Jonathan Gupton
(202) 586-7113
jonathan.gupton@eia.doe.gov