Tengizchevroil supports development of Kazakhstan’s Petrochemical Industry

20 February 2024

Tengizchevroil (TCO) participated in the 1st International PetroPolymers & PetroChemicals Forum, dedicated to petrochemical industry and polymer market of the Republic of Kazakhstan (RoK). The event, organized by the “Petrocouncil” Oil and Gas Council, was attended by representatives of more than 420 companies not only from Kazakhstan, but also from the CIS countries, as well as China and Turkey.

Askhat Khassenov, Republic of Kazakhstan, Vice Minister of Energy, emphasized the importance of developing the domestic petrochemical industry. “Investments of 13 billion US dollars is planned in the country’s petrochemical projects. The government will provide systematic support to the industry by creating the necessary conditions. It is important, starting from the design stage, when choosing an EPC contractor, to pay special attention to the Kazakh content in goods, works and services”.

TCO is playing a leading role in meeting the growing demand for gas in Kazakhstan, and supplies propane feedstock to produce polypropylene at the first integrated gas chemical complex - KPI, which was launched in Atyrau Oblast in 2022. Also, TCO and Butadiene LLP entered into an agreement to supply butane of European quality for a butadiene production plant. In addition, TCO plans to supply dry gas for the Gas Separation Complex project. Last year TCO and KMG Petrochem signed the Basic Terms of Agreement necessary for implementation of this project.

“According to an independent study by S&P Global, 1 dollar spent by TCO on Kazakhstani content development stimulates an additional 1 dollar in the economy and helps maintain an additional 59 new jobs. Today we clearly see this interconnection: thanks to the close cooperation of TCO with the RoK Government, new plants have been opened, jobs have been created, and the active development of the country’s petrochemical industry continues,” said Konilkosh Suyessinov, Tengizchevroil Deputy General Director.

Almost all dry gas produced at the Tengiz field is sent to the domestic market of Kazakhstan.