KazMunayGas plans to produce 21.7 million tonnes of oil in 2021

Nur-Sultan, November 30 - Neftegaz.RU. In 2020, Kazakhstan’s national oil and gas company KazMunayGas (KMG) plans to produce oil at the level of 21.7 million tonnes, and at the same level - in 2021, said the deputy chairman of the Board for Economy and Finance at KazMunayGas, Dauren Karabayev, New Europe reported.

“This year, the total production is expected to reach 21.7 million tonnes, which is lower than in 2019. In 2021, if OPEC + restrictions remain, production will most likely be at this level,” Karabaev said.

He noted that if there are no restrictions from OPEC + or they are weakened, then production will be slightly higher. “It is difficult to give specific figures, it will depend on the ongoing negotiations within the OPEC + group,” he added.

According to Karabaev, the company’s budget for 2021 is based on the price of $40 per barrel of Brent. He specified that this figure corresponds to the level of 2020.

The Minister of Energy of Kazakhstan Nurlan Nogayev previously reported that a decision to extend or remove restrictions on OPEC + could be made in December 2020.

Meanwhile, Kazakhstan is considering the possibility of gasifying its capital by buying Turkmen gas, the Kazakh Ministry of Energy said at an internet conference on November 23. “Regarding Turkmen gas, currently no decision has been made on this issue, negotiations are underway with the Turkmen side,” the Ministry of Energy said in a response, which was published on the e-government portal as part of the Ministry of Energy’s Internet conference.

While gasification of the capital will be carried out at the expense of Kazakh gas, the department specified. “In 2021, it is planned to supply gas through the Saryarka gas pipeline in the amount of about 300 million cu m per year,” the ministry added.

In September, the head of the Kazakh government, Prime Minister Askar Mamin, during a trip to Turkmenistan, reported that Kazakhstan was considering the possibility of purchasing Turkmen gas for the domestic market.

Author: Kulpash Konyrova