Kazakhstan approves special regime to develop complex oilfields
Kazakhstan’s Majilis adopted at second reading amendments to the Code on subsoil and subsoil use to improve hydrocarbon and uranium resource management on Wednesday, Kazinform News Agency correspondent reports.
The initiative will focus on boosting investment in hydrocarbon exploration and production, as well as promoting the state’s interests in the uranium sector.
Deputy Yedil Zhanbyrzhin said a number of changes were made to the Code’s provisions at second reading. "In particular, it is proposed to establish a special legal regime for the development of technologically complex fields with heavy oil, bitumen, and shale oil," he added.
The deputies introduced regulations allowing to deepen the lower spatial boundary of subsurface areas down to 5,000 meters without changing the closed contours for further exploration of mining sites.
The changes also provide for measures to support subsoil users, applying enhanced oil recovery (EOR) methods.
Kazakhstan seeks to allow existing gas-producing fields to shift to upgraded model contracts designed for complex projects in a bid to ease the resource shortage. Under the new terms, any unfinished work volumes will be included into future obligations.
As reported earlier, the Organization of the Petroleum Exporting Countries (OPEC) and its allies, known as OPEC+, on November 2 decided to raise oil output by 137,000 barrels per day (bpd) in December.