Implementation of the President's Address for 2024: how large-scale modernization of the fuel and energy complex is being carried out

On the instructions of the Head of State Kassym-Jomart Tokayev, work continues on a systematic modernization of the fuel and energy complex in our country. A reliable, self-sufficient and modern energy system will become a solid foundation for the country's sustainable economic growth and improving the well-being of every citizen.

Development of the oil and gas chemistry industry

In his Address, President Kassym-Jomart Tokayev drew attention to the urgency of the task of further developing the petrochemical industry.

As part of the implementation of the instructions of the Head of State to transition from raw material exports to the production of high-value-added products, a program for the development of the petrochemical industry is being implemented.

The total investment in six major projects is approximately $15 billion.

Expected results: creation of 3,500 permanent and 16,000 temporary jobs; formation of a strategic cluster for industrial growth and decarbonization of the economy; expansion of the range of high-tech products (butadiene, urea, terephthalic acid, polyethylene, polypropylene, etc.).

Main projects: a plant with a capacity of 500 thousand tons of polypropylene per year - commissioned; a plant with a capacity of 1.25 million tons of polyethylene per year - construction work is underway, commissioning is planned for 2029. Also, promising projects have been developed for the production of butadiene, urea, terephthalic acid and other products in demand in agriculture, automotive and light industry.

The center of the cluster will be the National Industrial Petrochemical Technopark (over 3,600 hectares), which will provide participants with access to industrial sites, utilities, and tax preferences. Today, 18 participating companies are registered in the SEZ.

Gas industry: from geological exploration to deep processing

The strategic objective at this stage of development in the gas sector is to expand the resource base of commercial gas.

As our President noted in his Address, it is necessary to expand the capacity of the industry and diversify gas transportation routes. One of the main tasks of the government remains to provide the population and the economy with gas.

Last year, a number of gas fields began to be exploited, and new gas fields are planned to be developed with a total production volume of one billion cubic meters per year.

In addition, the President instructed the Government to allocate gas to the domestic market according to needs and carefully consider switching CHP and household consumers from coal to gas until these projects are fully implemented.

The government has been tasked with accelerating the construction of gas processing plants in Zhanaozen, Kashagan, and Karachaganak. Effective incentive measures aimed at returning investments, including setting reasonable tariffs and wholesale prices in the short term, should also be introduced.

The work of the Government within the framework of the tasks set by the President is coordinated with the "Comprehensive Plan for the Development of the Gas Industry until 2029", approved this year.

On the instructions of the Head of State, the construction of large gas processing plants has been resumed:

A gas refinery project with a capacity of 1 billion m3 per year is being implemented at the Kashagan field, with a completion date of 2026, and a gas refinery project with a capacity of 2.5 billion m3 per year is also being developed.

It is planned to build a gas processing plant with a capacity of 4 billion m3 per year at the Karachaganak field, which will be commissioned in 2028 (commercial gas production - 3.3 billion m3 per year).

Construction of a new gas processing plant with a capacity of 900 million m3 per year has begun in the city of Zhanaozen.

As part of the Roadmap for expanding the gas resource base, the Rozhkov, East Uryktau, and Anabai fields were put into commercial operation.

In addition, in May 2025, construction and installation work began on the second line of the Beineu - Bozoi - Shymkent main gas pipeline, which will significantly strengthen the energy security of the southern regions and the transit potential of the country.

As for the provision of gas to the population, today the gasification level of Kazakhstan is 62.4%, which provides access to gas to 12.6 million residents of a population of 20.2 million. This is 2.4% higher than the figure for 2023. In 2024, more than 4,000 kilometers of gas pipelines were built and 93 projects were implemented.

It is planned to complete another 77 projects by 2025, providing gas connections to more than 300,000 people.