### Kazakhstan and Shell Discuss New Gas Processing Plants for Kashagan and Karachaganak Fields
In a strategic move to boost Kazakhstan’s energy production, the country’s Ministry of Energy (MOE) and Shell PLC have engaged in comprehensive discussions regarding the development of significant gas processing plants at the offshore Kashagan and onshore Karachaganak fields. These initiatives are part of a broader strategy to enhance the existing partnership between Kazakhstan and Shell, aiming to explore future joint geological projects and meet growing domestic gas demand.
#### Advancements in Gas Processing Plants
The meetings, held in August 2024, centered on advancing plans for two substantial gas processing plants. At Kashagan, the focus is on a plant capable of handling 2.5 billion cubic meters of gas per year. This facility is part of the field’s second-phase (2A) expansion, which aims to increase oil and condensate production to around 710,000 barrels per day over the next decade. The preliminary front-end engineering and design (FEED) phase for the Kashagan plant is currently underway and could be operational by 2029-2030 if approved.
In the Karachaganak field, Shell and Eni jointly operate through Karachaganak Petroleum Operating BV (KPO), where they each hold a 29.25% interest alongside other major partners. A gas processing plant with a capacity to process 4.5 billion cubic meters of gas per year is planned for the Karachaganak field. This project is estimated to cost approximately $3.2 billion and is slated for commissioning by 2028.
#### Strategic Partnership and Future Prospects
Kazakhstan’s Minister of Energy, Almasadam Satkaliyev, emphasized the importance of Shell as a strategic partner for the republic. He stressed that Kazakhstan is counting on the further strengthening of partnership relations in both current projects and in identifying new opportunities. The country’s focus on timely