Cost of Kazakhstan-China oil pipeline expansion project increased to $485 mlnThe expansion of the Atyrau-Kenkiyak and Kenkiyak-Kumkol sections of the Kazakhstan-China oil pipeline is preliminarily estimated at $485 million, said Askhat Khasenov, CEO of National Company KazMunayGas (KMG)."Five new pumping stations will be built to expand the bottlenecks: the Atyrau-Kenkiyak section with three new pumping stations and Kenkiyak-Kumkol with two new stations. The preliminary cost of this project is $485 million for the construction of another section of the pipeline and five pumping stations," Khasenov said on the sidelines of the government hour meeting in the Majilis, the lower chamber of Kazakhstan’s parliament, on Monday.He added that the pipeline expansion project was linked to the Shymkent refinery expansion project."This project depends on the Shymkent refinery expansion. To date, a pre-feasibility study has been completed, which will be followed by a feasibility study and a design and estimate documentation phase. Here our work will need to be synchronized with the expansion of the Shymkent refinery," Khasenov said.The construction of 180 km of pipeline and five new pumping stations won’t take long and will only be influenced by the metal prices, Khasenov added.It was reported earlier that National Company KazMunayGas (KMG) and China National Petroleum Corporation (CNPC) were negotiating a possibility of expanding the Kenkiyak-Atyrau and Kenkiyak-Kumkol oil pipelines. The throughput capacity of the Kenkiyak-Atyrau oil pipeline can be expanded from 6 million tonnes per year to 12 million tonnes, and the Kenkiyak-Kumkol from 10 million tonnes to 15 million tonnes annually.The ex-CEO of KMG Magzum Mirzagaliyev said earlier that the expansion of the Kazakhstan-China oil pipeline would cost about $200 million and should be completed in two or three years. The project could increase Kazakh oil exports to 20 million tonnes from today's 1-2 million tonnes.National Company KazMunayGas JSC is the national operator for exploration, production, processing and transportation of hydrocarbons. The company represents the state interests in the oil and gas sector of Kazakhstan. (ICE ALMATY)

Fonte notizia: INTERFAX