Production of equipment for the oil and gas sector increases by 82.5% year on year in January-July 2016
1 September 2016
235
The sector is boosted by key projects such as the launch of oil production at the Kashagan field expected in the fourth quarter of this year.
Production of oil and gas equipment reached KZT5bn in January-July 2016 against KZT2.7bn in the same period of last year. Growth stood at 82.5% against a fall of 6.4% year on year in the first seven months of 2014.
Generally, the ongoing crisis in the economy had a palpable impact on the sector as the 2015 output was 42.1% below than in 2014*. Earlier robust annual growth was recorded – 20% in 2014 and 24.1% in 2013.
However, the current growth trend may turn into significant gains in 2016. In addition to Kashagan, the development of the sector will also be boosted by the expansion of the Tengiz project and increase in output at the Karachaganak field.
Events: The replacement of pipelines at Kashagan is underway ahead of schedule as production at the field is expected to start in October 2016, Deputy Energy Minister Magzum Mirzagaliyev told the Oil Refinery and Petrochemistry in Central Asia conference in Astana. The official noted that the agreement with consortium participants did not mean some fixed date but it was expected that this would happen in the fourth quarter – approximately in October.
The need to launch production at Kashagan within the set timeframe was prompted by Prime Minister Karim Massimov’s orders to increase oil output from 74m to 75m tonnes this year.
*calculations use preliminary data for 2015. This figure may change after the State Statistics Committee publish the final data.
Production of equipment for the oil refining and producing industry is one of 14 key aspects of a state programme for industrial-innovative development in 2015-2019 (the so-called second five year of industrialisation).
According to the programme, the sector is expected to implement priority projects to produce progressive cavity pumps, superheavy equipment and bulky containers, isolation valves and other oil and gas equipment in Almaty and Atyrau, West Kazakhstan, Mangistau, North Kazakhstan and South Kazakhstan Regions.
In addition, the programme aims to attract foreign investors and boost cooperation with multinationals.
Events:
A plant to produce oil pipe with premium connections has been presented in Mangistau Region. The enterprise is located in the Aktau Seaport special economic zone. The technology is about innovating threading. The construction of the plant with a capacity of 45,000 tonnes of pipes a year started in 2015. The project’s total cost is KZT12bn. This is 100% investment from Italy’s Tenaris company. The plant employed 80 workers at the launch and will employ 120-130 people when it reaches full capacity, out of whom 80% will be local specialists and 20% specialists from Tenaris.
The Aktobe plant of oil and gas equipment plant to expand into new foreign markets in Russia, Iran and Turkmenistan. It also plans to expand its product range, the plant’s general director, Gasal Musin, said during President Nursultan Nazarbayev’s visit to the plant. Earlier with support from the Damu fund, a subsidiary of the Baiterek national holding company for managing development institutions, the Aktobe plant acquired an automated line to process the ends of barbells with a feeding robot, conservation unit and assemble ready-made sets. The enterprises is the only producer of pump rods and accompanying equipment, compressing-pumping pipes and so on in Kazakhstan and provides for over 80% of the country’s market and exports its products to Uzbekistan.
The analysis uses material published on www.kapital.kz, www.khabar.kz, www.damu.kz and www.baiterek.gov.kz websites.
Popular articles
Watch allWho and why does Kazakhstan’s saiga antelope give trouble?
Experts question the department’s statistics, as well as decisions made at state level regarding saigas In early summer, there Читать далее...
28 June 2022
784
Safeguarding the nature: investment into environmental protection increased by 34% over the year
The number of fixed point sources of pollution in 10 years has increased by 58% Environmental issues are extremely Читать далее...
5 November 2021
367
Focus on ESG: the world is confidently switching to green rails and sustainable development principles
In Kazakhstan, only some of the major backbone companies, major market players, and national development institutions are ready to implement Читать далее...
5 November 2021
365
Renewable energy generation capacities goes up by 40% year-on-year in Kazakhstan in 1Q2016
Clean energy generation jumps by 130% year-on-year in this period
22 June 2016
344
Power generation reaches 53.7bn kWh in January-July, up by 1.7% year on year. Gas turbine power plants with a capacity of 100,000 kW worth KZT18.6bn were commissioned in the first half of the year
Electricity tariffs went up by 5.8% year on year in August
16 September 2016
340
Kazakh oil refineries supplied 73.3% of motor fuel consumed and 97.4% of diesel fuel consumed in the country. Petrol output increased by 10.6% and production of gasoils by 3.6%
The price of the most popular octane-93 petrol increased by 16.4% year on year to KZT125 per litre in July. The price of summer diesel increased by 3.3% year on year to KZT99 per litre
15 September 2016
311
Kazakhstan’s crude oil and gas condensate output fall by 3.4% year on year in January-July 2016
In July 2016 crude oil and condensate went down by 0.9% year-on-year
26 September 2016
252
Kazakhstan’s industrial output goes down by 2.2% year on year in Jan-Apr 2016
Kostanay Region becomes regional outsider with 15.7% slump
11 July 2016
235
Production of equipment for the oil and gas sector increases by 82.5% year on year in January-July 2016
The sector is boosted by key projects such as the launch of oil production at the Kashagan field expected in the fourth quarter of this year
1 September 2016
235
Industrial enterprises navigate to sustainable development
Major industrial companies’ investments into social and infrastructure projects in 2019 exceeded 140 billion Tenge Kazakhstan has been holding Читать далее...
5 November 2021
233
Output of unrefined and semi-refined gold increased by 21.5% year on year, that of refined gold by 16.5%
Jewellery prices jump by 20.1% year on year on average in Kazakhstan, by 50% in Astana
6 September 2016
231
Hotel rates increase by 11.1% year on year in June 2016, health resorts by 11.5%
The number of hotels, rest homes and other facilities to accommodate tourists increased by 12.7% in the past year
5 August 2016
208