Investments in Project of LUKOIL and KMG in Caspian Sea Could Amount to $6.5 Billion
Deputy Chairman of the Board of KazMunayGas Kuanysh Kudaibergenov clarified that KMG’s share in the project is 50%
The volume of investments in the project of the national oil and gas company of Kazakhstan Kamunaigaz (KMG) and the Russian Lukoil Kalamkas – Khazar Operating may amount to about $6.5 billion. This is stated in the commentary of the Deputy Chairman of the Board of KMG Kuanysh Kudaibergenov.
The Kalamkas-Sea and Khazar fields were previously part of different subsoil use contracts with different operators. Later, given the geographic proximity and geological similarity of these fields, the government of Kazakhstan decided to combine these projects into one subsoil use contract. After lengthy negotiations, KMG attracted Lukoil as a strategic partner, which has already implemented several similar projects in the Russian sector of the Caspian Sea.
“The project involves investments of about $6.5 billion and is classified as technologically complex. For the first time in Kazakhstan, the field is planned to be exploited using offshore metal platforms. The construction of the platforms will involve Kazakh shipyards in the Mangistau region, which are currently virtually idle since completion construction work in Kashagan. All this implies an increase in business activity in the region and the creation of new jobs. Therefore, the emergence of a strategic partner ready to invest in such an expensive project is certainly a positive factor,” Kudaibergenov noted.
He clarified that KMG’s share in the project is 50%. “All decisions are made on a parity basis between the participants of the joint venture. The management of the project operator also consists of an equal number of representatives of both participants. Thus, statements in some media that “KMG has lost control over the project” are not true,” the deputy said chairman of the company’s board.
The limited liability partnership Kalamkas – Khazar Operating was created in 2024 specifically for the development of the Kalamkas-Sea and Khazar fields on the Caspian Sea shelf.
