KPO Launches Karachaganak-Uralsk Gas Pipeline Project

Prime Minister of the Republic of Kazakhstan, Karim Massimov, WKO Akim, Baktykozha Izmukhambetov, and other RoK officials visited the Karachaganak field and met with senior representatives from KPO's major shareholders.

BG Group Executive Vice-President, Mark Carne, and Eni Deputy Chief Operating Officer, Kazakhstan program, Guido Michelotti, along with the top management of Karachaganak Petroleum Operating B.V (KPO) welcomed the Prime Minister's delegation at the Karachaganak Processing Complex.

At the meeting representatives discussed the implementation of the Uralsk Gas Pipeline project as well as issues related to the proposed Phase III development of the Karachaganak field.

During the visit the delegation also took part in a ceremony commemorating the 'first weld' of the Uralsk Gas Pipeline project.

Prime Minister of the Republic of Kazakhstan, Karim Massimov, said in his opening address: "We are witnessing another important milestone in the history of the Western Kazakhstan region and the whole country. Today's event marks the start of the construction of the Karachaganak-Uralsk gas pipeline - the task that was set by the RoK President two years ago. These 150 kilometers of pipeline are significant from economical and social perspectives because not only will these show the residents of yet another two regions of the Oblast the tangible results from the mutual co-operation between the residents of the Republic and the investors, but also will serve as a powerful incentive for the development of Kazakhstan".

KPO General Director, Roger Fox, said: "The development of Karachaganak has brought enormous benefits to Kazakhstan and communities within the West Kazakhstan Oblast – the Uralsk Gas Pipeline project is another excellent example of this.

"The pipeline project will reduce the WKO's dependence on Russian gas supply and will bring an important source of locally produced and competitively price natural gas to towns and villages. It will encourage industrial growth and expansion of the Oblast's economic potential.

"Realizing the full potential of this project will, in part, be dependent on the installation of facilities planned as part of the Phase III expansion. Providing sufficient levels of gas will be vital if the full capacity of the line is to be utilized in future".

The pipeline will supply natural gas to the villages of Aksai / Burlin, Prirechnoe and Fedorovka. It will connect to the Gas Distribution Station tie in point near Uralsk. Around eight thousand households in the WKO are expected to benefit from the delivery of Karachaganak gas.