Aksai, July 4, 2024 — Karachaganak Petroleum Operating B.V. (KPO) is proud to announce a major milestone in the Karachaganak Expansion Project (KEP-1A), marking a pivotal moment in Kazakhstan’s energy sector. Fuel gas has been successfully introduced, and the project is now in the final stage of commissioning. In the coming weeks, this will enable the initiation of reservoir injection through the operation of the fifth compressor.

This achievement underscores KPO’s commitment to maintaining the safe and efficient operation of the giant Karachaganak field. Despite external challenges such as logistical restrictions, and supply chain crisis, the project has progressed successfully, reflecting the resilience and dedication of the KPO team.

The new compressor is set to significantly boost gas re-injection volumes, maintaining reservoir pressure and extending the field’s liquid production period. The project includes the installation of new gas compression units and gas dehydration units, essential for efficient gas processing and re-injection.

Since the inception of the Karachaganak project, contributions to the national budget through taxes and mandatory payments have been substantial. The ongoing expansion is expected to further contribute to national revenue and foster regional development.

KPO’s dedication to local content has been a cornerstone of its operations. The project’s extraordinary success is underscored by its local content performance, which stands at around 62%, significantly exceeding initial commitments. This achievement highlights KPO’s commitment to supporting local communities and economies. Additionally, local content performance for Goods in KEP-1A has increased by about 18%, reflecting its aspirations to develop local manufacturers in Kazakhstani’s oil and gas industry. It is also worth noting that KEP-1A project has created job opportunities for nearly seven thousand local people during the construction phase and will continue to provide further employment opportunities for the local community during the operation phase.

This milestone aligns the RoK Government’s vision for the energy sector, reinforcing Karachaganak’s position as a critical asset in Kazakhstan’s energy landscape. The successful completion of the fifth injection compressor phase represents a major advancement in the continued development of the Karachaganak field, ensuring long-term production stability and economic growth.

KPO Public and Media Relations Department

Notes to Media:

Karachaganak Petroleum Operating B.V. (KPO) is a joint venture between Eni SpA (29.25%), Shell plc, (29.25%), Chevron (18%), Lukoil (13.5%) and KazMunayGas (10%).

KPO oversees the expansion and development of the Karachaganak field — one of the world’s largest gas and condensate fields.