LPG from Kashagan oilfield to be supplied to domestic market

On January 16, 2024, as part of fulfillment of the Government’s task to supply liquefied petroleum gas to the domestic market, the Ministry of Energy of Kazakhstan, together with the shareholders of the Kashagan oilfield, reached a preliminary agreement on LPG supply to the domestic market, Kazinform News Agency reports citing the Ministry’s press service.

As per the preliminary agreement, QazaqGaz national company is nominated to negotiate with the Kashagan shareholders the issue of future delivery of LPG produced at the Bolashak integrated oil and gas processing plant.

As of now, the parties are cooperating towards making a final investment decision on the infrastructure project in the field of LPG in 2024. LPG supply to the Kazakh market is set to begin by the end of 2025.

By 2027, after the completion of infrastructure work at the Kashagan field, LPG production volumes is expected reach 700,000 tons per year.