In Astana in late February, winter is still strong, but the atmosphere of the talks inside the Kazakhstan National Oil and Gas Company building is very lively. On February 27th, Ashat Hassenov, Chairman of Kazakhstan National Oil and Gas Company, and Chen Huailong, Chairman of China National Petroleum and Natural Gas Exploration and Development Corporation, sat face-to-face at the conference table. What lies before both sides is not only a nearly 20-year cooperation process, but also a heavy new blueprint - to increase the annual production capacity of the Shymkent Refinery from 6 million tons to 12 million tons. With the advancement of feasibility studies, this long-awaited expansion plan has finally entered the fast lane.

Refinery's' Doubling Plan 'Implemented

The Shymkent Refinery was built in 1985 and is the youngest of Kazakhstan's three major refineries. Its refined oil production accounts for approximately 30% of the country's total supply. According to the consensus reached during the meeting on February 27th, both sides will accelerate the expansion and renovation of the factory, with the goal of doubling its production capacity on the existing basis. This expansion plan, known as the "6+6", will construct two single line process units with an annual output of 6 million tons, and fully integrate them with existing facilities. At present, the feasibility study of the project is under intense preparation, and both parties emphasize the need to strictly follow the established timetable to advance implementation. This investment will not only significantly enhance Kazakhstan's self-sufficiency in domestic refined oil supply, but also mark another milestone in China Kazakhstan capacity cooperation.

Gasification construction site is poised to take off

In addition to expanding refining capacity, both parties have also finalized the next steps for the Aktobe natural gas chemical complex project. The project is designed to produce 880000 tons of urea and 80000 tons of methanol annually, with an estimated total investment of approximately 1.25 billion US dollars. It is worth noting that the deployment of urea production capacity has been given strategic significance in ensuring national food security. At present, the feasibility study of the project has been completed, and both parties are fulfilling the final procedures for establishing a joint venture, which is about to enter the front-end engineering design stage. This layout marks the extension of cooperation between the two sides from simple fuel processing to the high value-added chemical industry chain. Keywords: interconnectivity, news reports, energy cooperation

Exploration cooperation for another city

On the same day, there were new developments in the talks between Kazakhstan National Natural Gas Company and China Petroleum International Exploration and Development Co., Ltd. Both parties have confirmed the expansion of geological exploration cooperation. The current flagship project is the North-1 exploration block in the Aktobe area, and the basic agreement has been signed. The gas field is considered one of the most promising areas for natural gas reserves in Kazakhstan, and both sides express that long-term strategic cooperation is of great significance for strengthening Kazakhstan's national energy security and enhancing its resource potential. The full industry chain pattern of China Kazakhstan energy cooperation has become increasingly clear, from upstream exploration to downstream refining.Editor/Gao Xue