Kazakhstan, Shell discuss new gas plants for Kashagan, Karachaganak fields

**Kazakhstan and Shell Pioneering New Gas Processing Initiatives at Kashagan and Karachaganak Fields**

In a significant step towards bolstering energy production in Kazakhstan, the country’s Ministry of Energy (MOE) and Shell PLC have intensified their collaboration to develop gas processing facilities at the Kashagan and Karachaganak fields. These ambitious projects aim to enhance the nation’s gas processing capabilities, ensuring a reliable supply for domestic markets and meeting increasing demand.

### Key Developments

– **Kashagan Field**: The MOE and Shell are advancing plans for a 2.5-billion cubic meter per year gas processing plant at the Kashagan field. This facility is part of the field’s second-phase (2A) expansion, which targets boosting oil and condensate production to around 710,000 barrels per day over the next decade. The raw gas will supply the planned gas processing plant, thereby increasing oil production to 500,000 barrels per day by 2029-2030, subject to approvals.

– **Karachaganak Field**: A 4.5-billion cubic meter per year gas processing plant is also under development at the Karachaganak field. This project, estimated to cost $3.2 billion, is expected to be commissioned by 2028. The ongoing operations at Karachaganak focus on maintaining production levels at 10-11 million tonnes per year through the installation of additional 5th and 6th gas recirculation compressors to increase oil yield.

– **Strategic Partnership**: The meeting between Almasadam Satkaliyev, Kazakhstan’s Minister of Energy, and senior officials from Shell highlighted the importance of the strategic partnership between the two entities. Satkaliyev emphasized the need for timely implementation of further stages at Kashagan to meet growing domestic gas demand. He expressed hope for continued cooperation to explore geological prospects in the region.

### Current Status

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