### Kazakhstan and Shell Pave the Way for Future Gas Processing in Kashagan and Karachaganak Fields
In a significant move to enhance its oil and gas production capabilities, Kazakhstan’s Ministry of Energy (MOE) and Shell PLC are delving deep into further development opportunities for the country’s offshore Kashagan and onshore Karachaganak fields. This collaborative effort is focused on constructing two new gas processing plants to effectively manage the natural gas volumes being produced at these fields.
#### Strategic Partnerships and Future Exploration
On August 26, Almasadam Satkaliyev, Kazakhstan’s Minister of Energy, met with senior officials from Shell’s conventional oil and gas division as well as the company’s Kazakhstan operations. The meeting centered on advancing plans for a 2.5-billion cubic meter per year gas processing plant at the Kashagan field and a 4.5-billion cubic meter per year plant at the Karachaganak field. This strategic collaboration aims to expand existing partnerships within Kazakhstan while strengthening future cooperation on joint geological projects in the region.
#### Kashagan Field: A Significant Undertaking
The proposed gas processing plant at Kashagan is part of the field’s second-phase (2A) expansion. This ambitious project aims to boost combined oil and condensate production to around 710,000 barrels per day over the next decade. Key metrics include increasing oil production to 500,000 barrels per day by supplying raw gas to the planned 2.5-billion cubic meter per year gas processing plant. Currently in the preliminary front-end engineering and design (FEED) phase, the new Kashagan gas plant is slated to start operations between 2029 and 2030 if approved. The preliminary construction cost for this project is estimated to be $3.2 billion.
#### Karachaganak Field: A Robust Plan
At the Karachaganak field, Shell and Eni jointly operate through Karachaganak Petroleum Operating BV (KPO), with each holding