Kazakhstan, China start development of Shymkent Oil Refinery expansion project

A delegation of the Kazakh Ministry, led by Daulet Arykbayev, Director of the Oil Transportation and Refining Department, participated in a strategic meeting in Qingdao, China, aimed at developing the feasibility study of the project to expand the production capacity of the Shymkent Oil Refinery to 12 million tons per year.

The sides approved the basic parameters of the project’s implementation. PetroKazakhstan Oil Products LLP, which operates Shymkent Oil Refinery,  presented initial technical data, and the East China Engineering Design Institute confirmed its readiness to begin work in strict accordance with the approved technical specifications.

The sides confirmed the plant expansion configuration under the ‘6+6’ scheme (two processing units of 6 million tons each), ensuring full integration of the new capacities with the existing facilities of the enterprise. The design is based on the previously agreed technical specifications and pre-feasibility study report.

The meeting participants prioritized compliance with project timelines and emphasized the importance of completing the main part of the feasibility study within the deadlines, as specified in the framework agreement.

Upon completion of the meeting, the relevant protocols were signed, marking the transition of the project into the active technical development phase.

Overall, within the framework of expanding Kazakhstan’s three oil refineries, oil processing volumes are projected to increase from 18 to 39 million tons per year.

In addition, work is underway to attract potential investors for the construction of a new refinery with an annual capacity of up to 10 million tons.

Earlier, Qazinform reported that operations at Kazakhstan Petrochemical Industries Inc. (KPI) in the Atyrau region were suspended due to a halt in propane feedstock supplies from Tengizchevroil.