Kazakhstan, USD 37 bln to boost production at Tengiz field

Kazakhstan and a group of oil majors led by Chevron approves a plan to boost oil production at one of the world’s biggest field

05 July 15:32 2016 by Anastasia Print This Article

The Ministry of Energy of Kazakhstan, Chevron, ExxonMobil, and the shareholders of the Kazakh largest oil producer Tengizchevroil approved on Tuesday a USD 36.8 bln plan to boost production at the Tengiz field, reports Reuters citing the Central Asian nation’s Energy Ministry as saying during a joint statement with foreign partners.

Under the plan, the joint venture Tengizchevroil, in which Exxon Mobil and Russian Lukoil also have stakes, will increase its output to 39 million tonnes of oil per year by 2022 from 27 million tonnes currently.

Tengiz field is one of the world’s biggest; it accounts for more than a third of total crude output in Kazakhstan which is the second biggest ex-Soviet oil producer after Russia.

“Today we are witnessing a historic event not just for the oil and gas sector but for the whole country,” Reuters cites Kazakh Energy Minister Kanat Bozumbayev.

Kazakhstan holds a 20 percent stake in the joint venture via state oil and gas company KazMunayGaz. Chevron owns 50 percent, Exxon Mobil has 25 percent and Lukarco, controlled by Russia’s LUKOIL – the remaining 5 percent.

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