Transcript Слайд 1 - Consulate General of the Republic of

“Break Through Projects
of the National Company
“KazMunayGas”
Astana - November 2008
JSC National Company “KazMunayGas”
“Beineu-Bozoi-Akbulak”
Main Gas Pipeline
JSC National Company “KazMunayGas”
“Beineu-Bozoi-Akbulak Main Gas Pipeline”
Project goal
Project of construction of the “Beineu-Bozoi-Akbulak” main gas pipeline is being
implemented in accordance with the Message of the Head of the State N.Nazarbayev to the
people of Kazakhstan оf 6th February 2008 with a view of meeting the needs of the southern
regions of the republic in gas, elimination of dependence on import gas and maintenance of
the country’s energy security.
Due to the absence of gas transportation mains between the bulk consumers of natural gas
in the south of the country and the major gas producing regions in the west of Kazakhstan,
the country’s south, through the historically formed infrastructure, is supplied by gas from
Uzbekistan.
The construction оf the “Beineu-Bozoi-Akbulak” gas pipeline will allow solving the
following tasks:
 To ensure gas supply from the major gas producing regions in the west of Kazakhstan
to the southern regions
 To decrease dependence on gas import
 To solve the problems of gas supply of the communities located along the gas pipeline
route
JSC National Company “KazMunayGas”
“Beineu-Bozoi-Akbulak Main Gas Pipeline”
Length: 1510 km
 Construction of the I line
(throughput capacity 5 bln. m3
per year):
June 2009 – June 2011
Bozoi
 Construction of the II line
Beineu
(throughput capacity 10 bln. m3
Akbulak
per year):
2013 – December 2014
Beineu-Bozoi-Akbulak main gas pipeline route




Provide the southern regions of the republic with domestic gas
Resolve the issues of gas supply to the localities situated along the route of the gas pipeline
Ensure gas supplies for steady operations of the Zhambyl SDPP (State District Power Plant)
Normalize prices and supply volumes of gas to consumer
JSC National Company “KazMunayGas”
“Beineu-Bozoi-Akbulak Main Gas Pipeline”
Basic indices
Name
Measurement unit
1st stage
2nd stage
Length
km
1510
Pipe size
mm
1016 mm - 1480 km
711 mm - 30 km
Work pressure
MPa
9,81
bln.m3/y
5
10
Number of compressor
stations
unit
2
3
Implementation period
years
2009-2011
2013-2014
Construction cost
mln.$
3 441,2
386,9
Throughput
JSC National Company “KazMunayGas”
“Beineu-Bozoi-Akbulak Main Gas Pipeline”
Economic and social benefits

Improvement of gas supply of the country’s southern oblasts.

Decrease in the volumes of gas import.

Construction of infrastructure facilities along the gas pipeline route.

Growth of the population’s employment
of the pipeline will make 500 persons.

Possibility of export of Kazakhstan gas to China by the “Kazakhstan
China” gas pipeline.

Growth of Kazakhstan’s revenues from taxes and assessments to budget.
–
number of personnel for running
–
JSC National Company “KazMunayGas”
“First Integrated Gas-and-Chemical
Complex in Atyrau Oblast”
JSC National Company “KazMunayGas”
“First Integrated Gas-and-Chemical Complex in Atyrau Oblast”
General Data of the Project

Goal: processing of the hydrocarbon gas of the Теngiz field,
increase in the added value оf the produced hydrocarbons.

Contractor of the project:
LLP Kazakhstan Petrochemical
Industries Inc. (hereinafter – LLP KPI Inc.), the participatory
interest of KMG Exploration Production JSC (hereinafter – KMG
EP) – 50%, LyondellBasell – 25%, JSC SAT&Company – 25%

Feedstock: petroleum gas of the Tengiz deposit – 7.0 bln.m3

Products: 800 thousand tons/year of polyethylene, 450 thousand tons/year of polypropylene

Location: Karabatan station in Atyrau oblast

Completion date: 2013 year

Payback period: 4.75 years

Total cost: 6.3 bln. USD (equity – 1.89 bln. USD, debt funds – 4.41 bln. USD).

Financial adviser
– HSBC Bank, UK.

Legal adviser
– White & Case, UK.

PMC (Technical adviser) – Foster Wheeler, UK.
JSC National Company “KazMunayGas”
“First Integrated Gas-and-Chemical Complex in Atyrau Oblast”
Organizational Breakdown Structure of the Project
Project participants (LLP KPI Inc.)
KMG EP
50%
SAT
Lyondell Basell
State support
25%
25%
Decree of the RoK's
President No.495 of 19
December 2008 “On
Establishment of FEA
“National Industrial
Technology Park”
Commercial
banks
Guarantee of
the ECAs
Financial
agreement
Shareholder's equity 30%-40%
Project
financing 60%-70%
Export credit
agencies (ECAs)
Project Company
Main Complex
Financing, construction, operation:
1. Processing units
Ethane cracking, Propage
dehydrogenation, Ethylene propylene
polymerization.
GPP for disengagement of ethane,
2. Internal infrastructure objects
Common maintenance objects,
Electrical power plants, Pipelines,
Infrastructure
Infrastructure
Financing, construction, operation:
Railroad yard, Electrical power plants
gas-turbine electrical power plants,
Ethane pipeline, Propane pipeline,
Gas pipeline, Sluice, Evaporation
fields, Motor and rail roads,
Railroad spur, Overhead lines to
KEGOC’s line, Construction camp.
4,5 bln. USD
Provision of
feedstocks delivery
guarantee to TCO
Extension of a direct
budget credit in the
amount of 800 mln.USD
through FSD “Kazyna”
0,8 bln. USD
Agreement on dry gas supply
7 bln.m3/y
Agreement on propane supply
550 thousand tons/year
TCO
Financial adviser: HSBC Bank
Legal adviser: White&Case
License
Agreement
РМС
Contract
Turnkey
contract
LSTK
EPC Contractor
(Consortium)
Licensors
PMC
Foster Wheeler
Off-take
Agreement
Polyolefins
technology
Lyondell Basell
JSC National Company “KazMunayGas”
“First Integrated Gas-and-Chemical Complex in Atyrau Oblast”
State support of the Project
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


The Decree of the President of the Republic of Kazakhstan “On Establishment of free
economic area “National Industrial petrochemical park” No.495 of December 19, 2007 was
signed.
The Republican Budget Committee at the tenth meeting approved parameters of the
amended republican budget of 2008, including extension of a budget credit in the amount of
10 bln.tenge for 2008, through FSD Kazyna for construction of infrastructural objects of the
Project. The draft law “On the Republican Budget for 2009-2011” provides for financing of
construction of the Project’s infrastructure at the expense of budget funds in the amount of
717 mln. USD (2008 - 83 mln.$, 2009 and 2010 - 300 mln.$, 2011- 117 mln. $).
For the purposes of state support of implementation of the Project, it is proposed to
consider a possibility of extension of a budget credit through JSC “FSW “Samruk – Kazyna”
in the amount of 800 mln. USD for financing of construction of infrastructural objects of the
Project in the period since 2008 till 2011. Interest rate – no more 3% per year, for the period
of 20 years, with grace period of 6 years.
Conclusion of the credit agreement with JSC Development Bank of Kazakhstan and subborrower LLP KPI Inc in December 2008 for the amount of 10 bln. tenge (83 mln.$).
АО «Национальная компания «КазМунайГаз»
Республика Казахстан,
010000, Астана, пр. Кабанбай батыра, 19
тел.: +7 (7172) 97-61-01
факс: +7 (7172) 97-60-00, 97-60-01
e-mail: [email protected]
http://www.kmg.kz