Tengizchevroil and KMG PetroChem Signed Heads Of Agreement On “Gas Separation Complex” Project

01 July 2023

On June 1, 2023, Tengizchevroil LLP (TCO) and KMG PetroChem LLP (KMG PetroChem) signed a Heads of Agreement for the execution of the Gas Separation Complex (GSC) project.

The GSC is planned to be located at the Tengiz field. This infrastructure facility is designed to provide Polyethylene Plant Construction project (Polyethylene Plant) with ethane feedstock.

The Heads of Agreement establishes the basic parameters for the implementation of the GSC project, such as preconditions for TCO’s dry gas supply to KMG PetroChem, the provision of technical services, and other coordination matters at the construction stage and during the operation of the facility. These efforts are aimed at supporting the Republic of Kazakhstan’s (RoK) plans to develop the country’s petrochemical industry.


“Thanks to the document signed today, we have become one step closer to the implementation of a large-scale complex for the production of premium polyethylene. These projects meet the long-term strategic goals of KazMunayGas to diversify the business and expand the portfolio of manufactured products based on the available hydrocarbon feedstock,” noted the NC KazMunayGas JSC Chairman of the Board, Magzum Mirzagaliev.

“TCO continues to be a proactive supporter of the Republic of Kazakhstan’s plans to develop the petrochemical industry, that will enable the further industrial and economic development of the country”, - highlighted TCO General Director Kevin Lyon.

“Signing of the Heads of Agreement is an important step to implement the GSC Project. We have laid the foundation for interface and allocation of responsibilities at the construction and operation stage of the Gas Separation Complex” was noted by Dastan Abdulgafarov, Chairman of the Management Board of KMG PetroChem.


Tengizchevroil LLP (TCO) is a Kazakhstani partnership that develops, produces, and markets crude oil, LPG, dry gas, and sulfur. TCO implements modern technologies and conducts its operations in accordance with world-class safety and environmental standards. In April 1993, TCO was formed between the Republic of Kazakhstan and Chevron Corporation. Partners are Chevron, 50 percent; KazMunaiGas NC JSC, 20 percent; ExxonMobil Kazakhstan Ventures Inc., 25 percent and Lukoil, 5 percent.

KMG PetroChem LLP (former KLPE LLP) is a 100% subsidiary of JSC NC KazMunayGas. The enterprise implements and coordinates projects in the field of petrochemicals in the KMG group. The scope of KMG PetroChem's activities includes the polyethylene plant and the Gas Separation Complex being designed, as well as other petrochemical projects.