“KazMunayGas” Signs Trilateral Agreement for Integrated Gas Chemical Complex Construction Project
On 3 June 2021, NWF Samruk-Kazyna JSC (the Fund), JSC NC “KazMunayGas” (KMG) and PJSC SIBUR Holding (SIBUR) have signed the basic terms of cooperation for the integrated gas chemical complex construction project in Atyrau region (Phase 1 – polypropylene production, Phase 2 – polyethylene production). The event took place during the St. Petersburg International Economic Forum.
According to the document, the parties will consider the possibility of SIBUR's participation in the integrated gas chemical complex construction project. It is expected that the partners will make a decision on joint participation in the project following SIBUR's study of its economic efficiency by the end of 2021.
“In case of an affirmative resolution to enter the project, SIBUR will become a reliable partner we need to implement a complex, so important to our country. I would also like to note that this project will receive our comprehensive support. We will take all necessary measures for its successful realisation,” stated Alik Aidarbayev, Chairman of the KMG Management Board, during the meeting.
“SIBUR has unique experience in implementing large-scale investment projects in the petrochemical industry, and is interested in expanding the petrochemical part of the business, among other things, through entering new markets. In case of joint implementation of projects, we will be pleased to share with our partners the accumulated expertise in launching projects and operating world-class polymer complexes. The partners have extensive experience in the construction and operation of large facilities in the production, transportation and refining of oil and gas, and, in their turn, will be able to provide the projects with necessary raw material support and provide the business with the existing infrastructure within the special economic zone framework,” emphasized Dmitry Konov, Chairman of SIBUR’s Management Board.
We remind that KMG is currently implementing a project for the country's first gas chemical complex construction located in Atyrau region.
Currently, the progress status of of polypropylene production Phase 1 is 87%. The plant's capacity will be 500 thous. tonnes of polypropylene annually. The complex construction completion is expected this year; its commissioning is scheduled for Q1 2022.
As part of polyethylene production Phase 2, a feasibility study has been completed. The plant's capacity will be 1.25 mln. tonnes of large-scale polyethylene annually.