Public Men to Have Discussed the Work of QazaqGaz at Samruk-Kazyna

Public Men to Have Discussed the Work of QazaqGaz at Samruk-Kazyna

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24 February 2023

An open meeting of the Fund’s Public Council chaired by Bolat Zhamishev took place today in Samruk-Kazyna. Public figures, politicians and experts discussed the results of QazaqGaz work in 2022 and the company’s plans for the future.

The company’s management, including Arman Kasenov and Aydin Akan, the Deputy CEOs, answered their questions. The event was held in an open format and attracted a lot of media attention.

Gas provision to the regions of the Republic of Kazakhstan

According to the company’s representatives, in 2022, QazaqGaz connected about 160 settlements across Kazakhstan to gas supply. The procedure for connecting to gas supply has been simplified: the list of technical documentation has been reduced by 1.5 times, the list of required documents - by 2 times.

QazaqGaz notes that they are responsible for access to gas supply in cities and villages, and private companies on a competitive basis connect consumers to gas. In total, about 500 companies are engaged in gasification in Kazakhstan, the cost of services is from KZT125 thousand and above.

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Assessment of gas reserves

Usually, the society is concerned about the issue of natural gas reserves in Kazakhstan. QazaqGaz assured that there would be no gas shortage in the country next winter. The export will be carried out on a residual basis.

According to QazaqGaz, in 2022 gas consumption in Kazakhstan amounted to 21 billion cubic meters, exports - 5 billion cubic meters. By 2030, the demand for gas within the country will double to 40 billion cubic meters. At the same time, recoverable gas reserves in Kazakhstan are estimated at 3.8 trillion cubic meters. That is, even taking into account the demand, they are enough for more than 100 years. The main reserves are concentrated in four large fields: Karachaganak, Tengiz, Kashagan and Zhanazhol, their total volume is 2.7 trillion cubic meters of gas.

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Priority projects

QazaqGaz also told about priority projects in the regions of Kazakhstan. One of them is creation of a gas processing plant (GPP) at Kashagan. Last year, the project was revived, now construction and installation work is in progress there. From 2025, the plant will process up to 1 billion cubic meters of raw sulfur dioxide per year. Purified commercial gas, liquefied gas, sulfur and gas condensate will be obtained from it. This will contribute to providing the country with gas and development of gas chemistry.

Among other projects is creation of new gas pipelines, for example, the second line of the Beineu-Bozoi-Shymkent gas pipeline will deliver gas from western deposits to the southern, central and northern regions of the Republic of Kazakhstan. The implementation of the 2nd and 3rd stages of the construction of the Saryarka gas pipeline will provide gas to the northern regions. The KS-14 - Rudniy gas pipeline will cover the gas needs of the Kostanai region.

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Expert questions

The topics related to natural gas usually raise concern of the Kazakh society. Therefore, the meeting of the Public Council on QazaqGaz aroused great interest among public figures and experts. For example, Olga Bulavkina, the Deputy of the Senate of the Republic of Kazakhstan, asked if it is planned to attract Russian gas to provide clean fuel to the East of Kazakhstan. Arman Kasenov, the Deputy CEO of QazaqGaz replied that a corresponding proposal was submitted to Gazprom to conduct a new gas pipeline to China through East Kazakhstan.

Azamat Akishev, from the Gas Engine Association of Kazakhstan, said that the country should increase dramatically the pace of conversion to gas of motor transport, for which it is necessary to release large volumes of fuel. QazaqGaz replied that in the current situation, additional volumes of gas could only be attracted from abroad at import prices. It will be difficult to guarantee the profitability of gas-powered transport at such fuel prices, the company believes. The Industry Association and QazaqGaz agreed to discuss this issue once more on a separate platform.

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The meeting also raised the issue of transferring the Almaty CHP to gas. Samruk-Energy is engaged in the construction of new gas-fired power plants next to existing coal-fired ones. QazaqGaz creates an external gas infrastructure for CHP-2 and CHP-3. Experts asked at what prices gas will be supplied to the new stations. The company replied that it would be sold to them at the same prices as other consumers in the fuel and energy sector, according to the basic scenario. It provides for an increase in fuel prices by 15% per year. At the same time, it should be noted that the Ministry of Energy and the Ministry of National Economy approve wholesale and retail prices for commercial gas.

“Gas topics are very important for everyone. The more acute the gas shortage in Kazakhstan, the clearer the unified state policy of managing the processes in the industry should be”, - Bolat Zhamishev, the Chairman of the Public Council, summed up.