Kazakhstan and CNPC Launch Projects with Billion-Dollar Potential

1287
Arman Korzhumbayev Editor-in-Chief
Photo by: KMG

Kazakhstan’s strategic cooperation with China in the oil and gas sector is entering a new phase. Chairman of the Board of KazMunayGas Askhat Khasenov held a working meeting with Li Shufeng, the newly appointed head of CNPC Central Asia and CNPC Kazakhstan. The discussion focused on concrete areas that will shape the future of bilateral cooperation in the coming years, DKNews.kz reports.

Judging by the agenda, the meeting went far beyond protocol. The sides spoke openly about challenges, long-term goals, and projects that are expected to define the development of Kazakhstan’s energy sector.

Geological exploration - investing in the future

One of the key topics was the expansion of cooperation in geological exploration. The parties discussed the study of new territories, replenishment of the resource base, and the introduction of innovative technologies. Special attention was paid to the Kyzylorda region, where oil production has been declining due to the depletion of reserves at mature fields.

For KazMunayGas, this area is of strategic importance. As a national company, KMG has been deliberately increasing its focus on exploration. In 2025, the company independently drilled a deep exploratory well at the Turgai Paleozoic site in the Kyzylorda region, reaching a depth of 5,500 meters. The results confirmed promising prospects for further geological exploration, providing both scientific and practical justification for continued work.

Joint exploration as a shared priority

Overall, KMG and CNPC expressed their intention to intensify cooperation in geological exploration. A joint working group has already held a series of technical sessions to exchange data on KMG’s promising projects. At present, the Chinese side is carefully studying the materials provided.

This format of cooperation is mutually beneficial. Kazakhstan gains access to advanced technologies and international expertise, while CNPC receives new opportunities to expand its resource portfolio in a strategically important region.

Urikhtau project under close attention

The meeting also reviewed the progress of joint strategic initiatives. Among them, the Urikhtau project was highlighted as a priority. The project envisages gas supplies from the Urikhtau field to the Zhanazhol gas processing plant in the Aktobe region.

The head of KazMunayGas emphasized the importance of adhering to previously agreed timelines for the implementation of the Urikhtau project. Stable gas supplies and the reliable operation of processing facilities are critical for the regional and national energy balance.

Mangistaumunaigas: focus on efficiency

Another topic of discussion was the performance of the joint venture Mangistaumunaigas. By the end of 2025, the company produced 6.1 million tonnes of oil. In the current year, the enterprise continues to implement a set of measures aimed at improving operational efficiency.

These efforts are particularly important in the context of mature fields, where maintaining production levels requires technological discipline and effective management solutions.

Shymkent refinery: a project of strategic scale

A separate block of the talks was devoted to the investment project to expand the capacity of the Shymkent oil refinery. The plan is to increase throughput from the current 6 million tonnes to 12 million tonnes per year. This project is seen as a key element in meeting the growing domestic demand for petroleum products.

At present, the parties are working on the feasibility study, which will determine the economic model, timelines, and technical parameters of the expansion.

A partnership built for the long term

The meeting made it clear that cooperation between KazMunayGas and CNPC is moving from general declarations to precise coordination of priorities. Geological exploration, gas projects, oil production, and refining are being considered as parts of a single, interconnected strategy aimed at long-term results.

For Kazakhstan, this partnership is not only about investment and technology. It is also about strengthening the country’s energy security in an increasingly complex global market.

DKNews International News Agency is registered with the Ministry of Culture and Information of the Republic of Kazakhstan. Registration certificate No. 10484-AA issued on January 20, 2010.

Theme
Autoreload
МИА «DKnews.kz» © 2006 -