Investment Projects

Construction of the Kashagan gas processing plant

  • Indicator Results
  • Investment amount, thousand US dollars 5 120
  • NPV of the Project thousand, US dollars 2 030
  • IRR, % 13,8%
  • EBITDA yield, % 47% (2026-2055 гг.)
  • Payback period, years 13,7
  • Discounted payback period, years - - 21,3


  • The project provides for the expansion (stages IIA and IIB) of the Kashagan Gas Processing Plant, which is being built and implemented at the expense of the Company's own funds, NC QazaqGas JSC (stage I) for the production of commercial products from the associated gas of the Kashagan field.
  • The target export market for the entire volume of commercial gas, industrial liquefied propane and butane (SPBT) and condensate will be China, while up to 100% of sulfur is planned to be sold on the domestic market. Manufacturers of vulcanized rubber, road construction enterprises are considered as target groups for the sale of products. Further expansion and development of the project in terms of launching the production of ethane and stable natural gasoline will significantly increase the level of income and increase the customer base. For the implementation of the Project, a land plot of 360 hectares has been allocated, which is owned by the Company on a long-term lease (until 2032) in the Makat district of the Atyrau region, at a distance of about 60 km to the north-east of the city of Atyrau or 13 km to the north of the Bolashak GTP ". The existing road Atyrau - Iskene station is 6.2 km away. from GPP. The main water conduit "Astrakhan-Mangyshlak" is located at a distance of 25 km from the plant. The branch of the access railway will be carried out from the railway siding at the Iskene station.

Project participants
  • The initiator of JSC "NC "QazaqGaz" is the national operator of the country in the field of gas and gas supply. It is a vertically integrated national gas company operating along the entire chain from exploration and production to the sale of end products. The company has many years of practical experience in implementing similar projects.
Required Investments and Financing Structure
  • To implement stages IIA and IIB of the Project, it is proposed to create a joint venture on a parity basis of 50% / 50% in the form of an LLP or JSC with the right to veto the Company (similar to a golden share). At the same time, it is proposed to reimburse the Investor's funds invested for the Company (50% of capital costs) by sending the Investor 50% -80% of the Company's profit share generated by the Project, until the entire amount is fully reimbursed at face value. The proposed funding structure is indicative.
Attractiveness of the Project
  • Stable resource base and strategic partner. The plant is located in close proximity (12.5 km) to the source of raw materials. There are long-term agreements on the uninterrupted supply of associated gas (10 billion cubic meters per year) from the Kashagan field (NCOC). The international consortium of 7 major oil and gas companies of the world North Caspian Operating Company (NCOC) is a strategic partner of the Project, as well as the operator of the Kashagan field, the richest of the 3 largest oil and gas fields in Kazakhstan. The implementation of the Project will allow NCOC to increase its annual oil production by 1.15 million tons.
  • Production need for gas processing facilities. The bulk of the natural gas produced in the country is a by-product of oil production, so the volume of commercial gas production directly depends on the level of oil production. According to the forecast of the Ministry of Energy of the Republic of Kazakhstan, the production of commercial gas in the country is planned to be increased to 42 billion cubic meters. m per year by 2030. The implementation of this Gas Processing Project by the specified year will increase its production by 6 billion cubic meters. m.
  • The growth of domestic consumption of commercial gas in Kazakhstan, which, according to the forecast of the Ministry of Energy of the Republic of Kazakhstan, will reach 27.7 billion cubic meters by 2025. m, and by 2030 the figure will exceed 35 billion cubic meters. m, compared with 18.6 billion cubic meters. m in 2021. The growth of domestic consumption of commercial gas is facilitated by the gasification program of the country, developed by the Ministry of Energy of the Republic of Kazakhstan, as a result of which, over the past 5 years, the coverage of the population has increased from 8.6 million to 11 million people.
  • Growing demand for gas in China. According to EIU forecasts, gas consumption in China will grow in 2022-2031. with a CAGR of 4.5%. China will increase the volume of gas imports through pipeline transportation from Central Asia.
Processing capacity under the Project


Stage I

Stage IIA

Stage IIB

Commercial gas

725 million
cubic meters m

1,500 million
cubic meters m
3,550 million
cubic meters m

119 thousand

360 thousand
682 thousand


17 thousand
55 thousand
233 thousand


212 thousand



Investments, USD

863 million

1,600 million

3,520 million

Average course 

436.30 KZT/USD

436.16 KZT/USD

434.47 KZT/USD

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