Prime Minister Olzhas Bektenov Holds Meeting on Implementation of Major Metallurgical and Petrochemical Projects,
primeminister.kz reports.
Prime Minister of the Republic of Kazakhstan Olzhas Bektenov chaired a meeting focused on the implementation of major projects in the metallurgical and petrochemical industries.
Reports were presented by Minister of Industry and Construction Yersayin Nagaspayev and Minister of Energy Yerlan Akkenzhenov. Project initiators also spoke, including Vitaly Nesis, CEO of Solidcore Resources; Nail Maganov, CEO of PJSC Tatneft; and Askhat Khasenov, Chairman of the Board of JSC NC KazMunayGas.
Following the instruction of the President, the Government is consistently working to unlock the country’s industrial potential. A list of 17 major projects has been defined, with particular emphasis on high-value-added production.
The Prime Minister was briefed on five key initiatives with a total investment volume of approximately $19.5 billion and the creation of more than 8,000 permanent jobs. Previously, on May 12, five other projects in the chemical and metallurgical sectors were reviewed at a government session.
In Pavlodar region, construction has begun on the Yertis Hydrometallurgical Plant for processing high-carbon sulfide gold-bearing concentrates. The plant will process up to 300,000 tons of concentrate and produce up to 15 tons of gold annually in dore alloy form. Total investment in the project is $978 million, with 500 permanent jobs planned. The project is being implemented within the Pavlodar Special Economic Zone. Engineering surveys have been completed, a positive environmental assessment has been received for temporary facilities, and infrastructure preparation is underway.
In Atyrau region, three major petrochemical projects are planned. The first involves the construction of a plant for the production of butadiene and its derivatives, with an annual capacity of up to 305,000 tons. The project involves $900 million in investment and the creation of 750 permanent jobs. The facility is expected to be commissioned in 2028. The extended basic design is currently being developed in collaboration with the Chinese company China Tianchen Engineering Corporation.
KMG PetroChem is implementing a project to build a polyethylene terephthalate (PET) plant with an annual capacity of up to 735,000 tons. The total investment in the project is $1.5 billion, with 400 permanent jobs planned.
In addition, the second phase of the integrated gas chemical complex for polyethylene production has begun in the region. This $7.4 billion project will have a capacity of 1.25 million tons per year. Once operating at full capacity by 2029, the facility will produce more than 20 types of in-demand polyethylene, including premium grades. Around 800 permanent jobs will be created.
As part of the development of a gas chemical cluster, construction of a gas separation complex is also planned. The facility will process up to 1.6 million tons of ethane and around 355,000 tons of propane per year. The total investment is $2.7 billion, with more than 400 permanent jobs expected. Design work has been completed, and a positive expert opinion has been obtained in preparation for construction.
Progress was also reported on the expansion of the Shymkent Oil Refinery, increasing its capacity from 6 to 12 million tons per year. This project is expected to significantly boost oil processing volumes and provide stable employment for around 5,200 people. The investment is estimated at $6 billion.
During the meeting, it was noted that the implementation of large-scale industrial projects in metallurgy and petrochemistry will not only contribute to the growth of the processing sector but also generate stable demand for products and services from domestic producers. The Prime Minister emphasized that this will significantly expand the involvement of local small and medium-sized enterprises in supply chains.
Metallurgy and petrochemistry are backbone sectors of our economy. They form the foundation for sustainable industrial growth, value creation, and the generation of high-quality jobs. These projects will accelerate Kazakhstan’s transition from raw material extraction to the production of finished goods in demand on global markets. An important outcome should also be the development of a broad ecosystem of small and medium businesses around these clusters. We see each cluster as a hub that attracts dozens of enterprises in logistics, equipment maintenance, construction, packaging, and more," Olzhas Bektenov stated.
The Prime Minister instructed ministries, regional administrations, and relevant organizations to ensure proper coordination and monitoring of project implementation at the local level. The Ministries of Energy, Industry and Construction, and National Economy were tasked with ensuring the timely launch of all projects.
