Government signed documents on Dunga and Abay fields

Date: 16:13, 04-07-2019.

Astana. July 4. KazTAG - The Government has signed the documents on Dunga and Abay fields, reports the Prime Minister of Kazakhstan.
"Prime Minister of Kazakhstan Askar Mamin has conducted talks with the representatives of Total company. The meeting covered a wide spectrum of cooperation issues in the oil and gas sector. The parties emphasized increase of Kazakhstani consistence in the North-Caspian project, development of joint companies for transfer of technologies and organization of new industries on the territory of Kazakhstan. They have also considered joint projects for development of renewable energy sources. By the results of the meeting the documents on Dunga and Abay projects have been signed" reads the message.
“According to the agreement, the term of the production share agreement of the Dunga field will be extended for 15 years from 2024 to 2039, which will allow production of  additional 9 million tons of oil. The parties also agreed on the implementation of Phase 3 of the development of the Dunga field, under which the companies will invest about $ 300 million, which will increase the maximum level of oil production from the current 600 thousand to 850 thousand tons per year. Within the frameworks of the agreement the share of Kazakhstan in section of profitable products will increase on a progressive scale from the current 40% to 60% by January 1, 2025. The agreement enshrines the obligations of companies to supply part of the produced oil to the domestic market of Kazakhstan and perform the finance social infrastructure projects in the amount of at least $ 1 million annually," reads the message.
"Performance of Abay project will  increase  investments in exploration and production of hydrocarbons in  Kazakhstani sector of the Caspian Sea. According to the document, a contract was signed for  exploration and production of hydrocarbons at the Abay site, which provides for: drilling the first exploration well with a depth of 2.5 thousand meters, conducting 2D seismic exploration and other works totaling more than 14 billion tenge," reads the message.

Photo source: picture from an open source

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