Oil Chronicles. September 2023
September 1, a delegation from KazTransOil, led by General Director Talgat Kurmanbayev, conducted negotiations in Beijing with executives from China National Oil and Gas Exploration and Development Company Ltd. and CNPC Exploration and Development Company Ltd. The discussions centered on collaboration within the management of joint ventures MunaiTas and the Kazakhstan-China Pipeline, focusing specifically on the expansion projects of the Kenkiyak-Atyrau and Kenkiyak-Kumkol oil pipelines.
Main Waterline LLP (100% owned by KazTransOil) has completed the Water Pipeline Construction for the Comprehensive Gas Processing Installation at the Kashagan Field in the Atyrau Region. This pipeline will facilitate water supply for Phase I of the associated gas processing plant construction at Kashagan.
The construction and installation work spanned three months, from May 31 to August 31. The water pipeline is connected to the Astrakhan - Mangyshlak main waterline, operated by Main Waterline LLP.
Kanat Bozumbayev has been appointed as an Energy Advisor to the President of Kazakhstan. From 2019 to 2021, he served as an assistant to the head of state and was the Minister of Energy from 2016 to 2019, a position he left due to health concerns.
During his tenure as Minister, Bozumbayev orchestrated a three-year arbitration dispute with the international consortium KPO over profit sharing from the Karachaganak field, resulting in a settlement of $1.1 bln paid to Kazakhstan in October 2018.
On September 8, KazMunayGas became the owner of the private company Karaton Operating Ltd., as announced on the Kazakhstan Stock Exchange (KASE) website. Prior to this, the company's founder was Nurlan Konysov, who had served as the Director of the Geology and Exploration Department at KMG. On September 5th, 2023, he left this position to lead the Karaton sub-salt block development project in the Atyrau and Mangystau regions.
KazMunayGas has signed a contract with Russian company Tatneft for hydrocarbon exploration at the Karaton sub-salt site, with investment for the project estimated at around $2 bln.
September 9, Kazakhstan's Prime Minister Alikhan Smailov met with the executives of the Kashagan Consortium's shareholder companies and NCOC's Managing Director, Olivier Lazar.
The meeting focused on the consortium's operations, new investment projects, and compliance with the country's environmental legislation. The Prime Minister emphasized the urgency of constructing new gas processing facilities for Kashagan production. Construction of the first Gas Processing Plant (GPP) for 1 bln cubic meters of gas per year is underway, and plans for a second GPP with a capacity of 4 bln cubic meters are under discussion.
September 12, KMG's Chairman of the Board, Magzum Mirzagaliyev, met with the leadership of Lukoil in Astrakhan to discuss the progress of the joint Kalamkas-sea, Khazar, Auezov project on the Caspian Sea shelf.
The meeting also explored the prospects of forming a consortium between KMG Engineering and Lukoil Engineering for collaboration in engineering and technical support, not only for the Kalamkas/Khazar and other capital projects, but also for operational activities.
Saipem, a subsidiary of the Italian conglomerate Eni, has exited the shareholder composition of the joint venture Yersai, where it previously controlled a 50% stake. Consequently, the sole shareholder of the joint venture has become Kazakhstan's ERG Holdings, controlled by Lancaster Group. The ultimate beneficiaries of Lancaster Global Company LLP include citizens of Kazakhstan such as Gulnar, the wife of Almaty's current mayor Erbolat Dosaev, and Gaukhar, the widow of former KazakhOil head and former Vice-Minister of Energy Nurlan Kapparov.
Alikhan Baidusenov has been appointed as the Executive Director of the KAZENERGY Association, heading the Analytical Center.
An alumnus of Al-Farabi Kazakh National University, the London Business School - Executive Education Program, and the year-long military finance program at the Naval Postgraduate School in the USA, Alikhan has over 15 years of experience in the oil and gas sector, including positions at Embamunaigas and KazMunayGas. Before joining KAZENERGY, he was the managing partner at CSI Center for Strategic Initiatives (Astana).
KazMunayGas has announced its search for a strategic partner to jointly implement the new Bolashak subsoil use project. The production site, located in the Mangistau region (partly in the Kazakhstani sector of the Caspian Sea), is listed among the territories for exploration and extraction of hydrocarbons to be granted to national companies.
The tender invites participation from Kazakhstani or foreign legal entities and consortia. The collaboration format is a joint venture with KMG holding no less than a 50% share. The minimum work program includes drilling two exploratory wells and conducting 3D seismic exploration over an area of 432 sq. km.
Timur Kulibayev has been reelected as the President of the National Olympic Committee of Kazakhstan (NOC) for another four years. The election took place in Astana during the General Assembly of the NOC, whose members include presidents of all national sports federations for Olympic disciplines. Kulibayev has been leading the NOC since 2015.
He also serves as the chairman of KAZENERGY Association and is a successful businessman with assets in the oil and gas sector. According to the General Prosecutor's Office, he was the country's largest individual taxpayer from 2015 to 2022.
Kulibayev is married to Dinara, the middle daughter of Kazakhstan's first president Nursultan Nazarbayev.
September, Olzhas Begimbetov was appointed as the Director of the Geology and Exploration Department of KazMunayGas.
In previous years, he held various key positions including Director of the Geological Exploration Department, Director of Resource Base Development Department, Managing Director for Exploration at KMG Engineering LLP, and Director of the Department of Regional Geology at the KazMunayGas Research Institute for Production and Drilling Technologies.