Oil production at Kalamkas-Khazar offshore blocks to begin in 2028
The construction of the offshore platform will begin in late 2024
Kalamkas-Khazar-Operating LLP plans to begin the development of oilfields in Kazakhstan's part of the Caspian Sea, the company's Director General Kurmangazy Iskaziyev says, Kazinform has learned from the Telegram channel of Energy Monitor.
The first barrel of oil will be produced in 2028. The construction of the offshore platform will begin in late 2024. Design works will be carried out throughout 2023.
The offshore platforms will be built 64 kilometers away from the coast at the Kalamkas-Sea structure. The total reserves of Kalamkas-Sea and Khazar deposits are estimated at 81 million tonnes. Oil output at Kalamkas-Khazar offshore blocks is likely to reach 4 million tonnes.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
relevant news
Kazakhstan-EU trade turnover stood at $40bn - Kazakh President
Images | Depositphotos
The mutual trade turnover between Kazakhstan and the EU countries reached 40 billion dollars last year, Kazinform cites Akorda.
Speaking at the ‘Central Asia - European Union’ Forum, Kazakh Head of State Kassym-Jomart Tokayev noted that the prospects for cooperation between Central Asia and the European Union are huge. Last year, the flow of European investments in Kazakhstan rose by 23% to $12.5 billion, he said.
Of the $350bln of direct foreign investment the country has attracted over 30 years, the European Union accounts for almost half. The EU is the largest trade partner of Kazakhstan, accounting for mor than 40% of the foreign trade.
Last year, the mutual trade turnover between Kazakhstan and the EU countries stood at $40bn. I believe that the figure could be increased to $50bn," he said.
Kazakhstan and the EU actively develop cooperation in 29 key directions, based on the Agreement on Expanded Partnership and Cooperation with the EU countries.
There are over three thousand companies with the participation of European capital, including Shell, Eni, Total, Air Liquide, Alstom, Siemens, and others.
President Tokayev noted that the Kazakhstan-EU partnership was strengthened by new agreements in the promising strategic areas such as the extraction of rare earth metals, green hydrogen production.
One of the breakthrough projects is the commencement of the construction a plant for installing wind and solar power stations by the German-Sweden Svevind company and production of three million tons of green hydrogen in Kazakhstan, which is around 20% of the EU’s needs," said the Kazakh Head of State.
Earlier it was reported that President Kassym-Jomart Tokayev had arrived in Cholpon-Ata, Kyrgyzstan, to take part in the leaders of the Central Asian countries and the European Union.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
Inflation in May 2023 was 15.9% year-on-year
Images | Depositphotos
The consumer price index slowed down for the month and amounted to 0.6% against 0.9% in April. Prices for paid services increased by 0.7%, food and non-food products - by 0.5%.
The increase in prices was noted for air passenger transport services by 11.5%, rail - by 2.5%. There is an increase in prices for sanatorium services by 5.6%, in the field of recreation and sports events - by 2.9%, preschool services - by 1.7%, healthcare - by 1.4%.
Food prices have significantly increased for fruit and vegetable products, in May cabbage rose by 23.8%, onions - by 9.9%, grapes - by 9.6%, carrots - by 8.6%, apples - by 5.3%, potatoes - by 4%. Rice prices increased by 2.5%, soft drinks - by 1.9%, drinking milk - by 1.8%, tea - by 1.6%. Cucumbers fell by 39.6%, tomatoes - by 23.7%, sweet peppers - by 7.6%, buckwheat groats - by 4%, bananas - by 3.8%.
The increase in prices in May was observed for liquefied gas in cylinders by 1.7%, gasoline - by 1.2%, diesel fuel - by 0.7%. Prices compared to last month increased for clothing and shoes by 1.3%, personal goods - by 1.2%, dishes - by 0.9%, detergents and cleaning products - by 0.8%.
Among the regions, the highest monthly inflation was registered in the city of Shymkent - by 1% (above the national average by 0.4 percentage points), the lowest - 0.1% in the Pavlodar region.
In the context of regions, prices for food products increased the most in the Ulytau region by 1.4%, non-food products - in the city of Almaty and North Kazakhstan region by 1%, paid services - in the city of Shymkent by 2.7%.
Inflation in May 2023 was 15.9% year-on-year. Prices for food products increased by 16.5%, non-food products - by 17.2%, paid services - by 13.5%.
Compared to May 2022, office supplies rose by 67.5%, cucumbers - by 53.4%, household soap - by 49.7%, dishwashing detergent - by 47.1%, concentrated sugar-free milk - by 46.6%, rice - by 44.9%, day hospital treatment - by 43.6%, sugar-refined - by 42.7%. On the contrary, in annual terms, cabbage and carrots fell by 19.1%, potatoes - by 16.8%, garlic - by 8.4%, beets - by 7.1%.
The consumer price index indicator characterizing the inflation rate is calculated monthly. Observations are conducted on tariffs and prices for services and goods, for a total of 508 positions. Dynamic changes in inflation can be viewed on a specially designed interactive dashboard, which covers indicators starting from 2018.
The Bureau calculates the consumer price index indicator monthly, which characterizes the level of inflation. We are observing changes in tariffs and prices for services and goods, for a total of 508 items. Prices are registered through a selective network of trade and service enterprises of various forms of ownership in all regional centers, the capital and a certain circle of cities and district centers," explains Kuanyshbek Zhakypbekuly, Director of the Bureau's Price Statistics Department.
*Since January 2023, when constructing the consumer price index, the share of food products is 41.8%, non-food products - 29.6%, paid services - 28.6%.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
Kazakhstan and Spain strengthen trade and economic cooperation
Images | Ministry of Trade and Integration
The 10th meeting of the Kazakh-Spanish Intergovernmental Joint Commission on Cooperation in the field of Economy and Industry was held in Astana, press service of the Ministry of Trade and Integration reports.
During the meeting, the Parties discussed a wide range of issues in the field of trade and economic cooperation, agriculture, renewable energy, education, infrastructure and aviation, urban development, digitalization, etc.
The Co-chairman of the Intergovernmental Commission from the Kazakh side is Vice-Minister of Trade and Integration of Kazakhstan Kairat Torebayev, from the Spanish side - Secretary of State for Trade of Spain Xiana Margarida Mendez Bertolo.
Kairat Torebayev said that the trade turnover between Kazakhstan and Spain in 2022 increased by 41,7% and reached $ 2.6 billion. He also stressed the need for joint efforts to further increase the volume of bilateral trade and maintain its positive dynamics.
Kazakhstan has sufficient potential to intensify foreign trade operations, including by creating conditions for direct contacts between economic entities of the two countries, more active participation in mutual investment projects, and expanding the range of goods. According to our calculations, in the future, Kazakh companies can additionally supply 90 processed goods to the Spanish market, these are products of the metallurgical, petrochemical, food, chemical, machine-building industries, as well as construction goods worth $660.1 million", - said Vice Minister of Trade and Integration of Kazakhstan Kairat Torebayev.
Upon completion of the work of the Intergovernmental Commission, the Parties expressed satisfaction with its results and signed the Protocol. The next 11th meeting is scheduled to be held in Madrid.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
Kazakh Government discussed reduction of prices for socially significant products
At the meeting chaired by Deputy Prime Minister - Minister of Trade and Integration Serik Zhumangarin, the price situation for social products for the week was considered. The average index of +0.1% was mainly formed due to the seasonal increase in prices for potatoes, carrots, onions. Prices for bread, horns, chicken, sugar, salt are stable, press service of the Ministry of Trade and Integration reports.
The rate of decline in the price of buckwheat remains, for a week the price of this cereal has decreased by another 1.2%, since the beginning of the year - by 23%. In addition, the trend of decreasing prices for sunflower oil continues - 0.4% (since the beginning of the year, a decrease of 5.8%), flour - 0.2% (since the beginning of the year - by 2.5%).
Also this week, there was a decrease in the price index as a whole for SSSG in the Pavlodar region by 0.3%. The share of the decrease is largely due to a decrease in prices for sunflower oil and eggs.
Vice Minister of Agriculture Yerbol Taszhurekov reported on the availability of stocks of last year's harvest in the off-season and the results of the early harvest. According to the data provided, early potato harvesting has begun in the Turkestan region, the plan for June-July is 180.4 thousand tons. In Almaty region, it is planned to harvest this vegetable in the amount of 37.8 thousand tons for June-July. Thus, the necessary level of provision of the regions in potatoes will be covered by the early harvest from the southern regions.
If there are stocks of last year's carrot harvest, the main volume of the domestic market needs in June is planned to be covered by imports. At the same time, by the end of June, early carrot harvesting will begin in the Turkestan region, according to plans - 30.3 thousand tons. 90.8 thousand tons of cabbage have already been harvested in the region. This and the future harvest of early vegetables is enough to cover the needs of the market. According to the Akimat of Turkestan region, currently the price of cabbage from the field is from 70 to 100 tg/kg.
In the Zhambyl region, it is planned to harvest early onions in the amount of 105.8 thousand tons, in the Turkestan region - 55.4 thousand tons. Taking into account that the volumes of SEC reserves have been formed for June, the regions are recommended to carry out deliveries from the southern regions in July.
As for harvesting for winter-spring 2024, contracts have already been concluded for the supply of 129 thousand tons of vegetables for the next autumn harvest: potatoes - 70.6 thousand tons, carrots - 19.7 thousand tons, onions - 22 thousand tons and cabbage - 16.5 thousand tons.
During the meeting, the Akimat of the Kyzylorda region raised issues of collateral for producers at the conclusion of forward contracts, the possibility of storing already contracted products (potatoes) in manufacturers' warehouses. As a result of consideration of the issue, Serik Zhumangarin instructed to work out the mechanism together with the Ministry of Agriculture
At the same time, rice sowing is planned to be completed in the region in early June. On the part of the Akimat of the Kyzylorda region, it was proposed to hold meetings directly with the participation of representatives of interested government agencies, regional secs, retail chains of other regions to conclude contracts for the purchase of the autumn harvest. This will make it possible to fix the prices of rice, taking into account storage, and it will also be possible to further regulate the trade premium during the year.
Serik Zhumangarin supported the proposal of the Akimat of the Kyzylorda region regarding the early contracting of rice. He also instructed to take all necessary measures to further curb the growth of prices for social food.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
Foreign investment in Kazakhstan hit a record $28bn in 2022
Images | Depositphotos
Kazakh Senate Deputy Olga Perepechina has named the main factors making Kazakhstan attractive for investors, Kazinform correspondent reports.
They are the political stability, predictability, and immutability of legislation, and effective governess across the country. The State keeps all these elements which are the solid foundation of investment climate under control. There are different legislative mechanisms for stimulating the investment activity in the country", - said Perepechina.
She went on to say that there are 14 special economic and 33 industrial zones, providing infrastructure and wider investment preferences, in Kazakhstan. The country also simplified the procedures for opening and running businesses, created a solid regulatory framework. And favorable conditions for investment activity.
Kazakhstan has passed the new investment policy concept, established a visa free regime with 76 countries, the institution of investment ombudsman.
According to Senate Deputy Olga Perepechina, the gross flow of direct foreign investments in Kazakhstan reached its 10-year high of $28bn in 2022.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
More than 280 investment projects for 1.9 trillion tenge planned to be launched in Kazakhstan in 2023
Images | primeminister.kz
Prime Minister of Kazakhstan Alikhan Smailov held a meeting of the Investment Headquarters, which considered the rate of capital investments (CII) and foreign direct investments (FDI), primeminister.kz reports.
Minister of National Economy Alibek Kuantyrov informed that the total volume of FDI amounted to 3.8 trillion tenge in January-April of the current year, which is 18% more than during the same period of 2022. Among the industries, mining and manufacturing industry, real estate operations, transport and warehousing, and agriculture are leading by this indicator.
The nationwide target indicator for January-April was achieved. Regionally, out of 20 regions, 12 have fulfilled and exceeded their plans. Among them are Turkestan (148%), Kyzylorda (137%), Karaganda (122%), Mangystau (122%) and Akmola (116%) regions. Among central government agencies the plans were overfulfilled by the Ministries of Healthcare (167%), Education (153%), Science and Higher Education (152%), Trade and Integration (143%), Agriculture (116%), Environment and Natural Resources (108%).
Prime Minister stressed that following the results of 4 months most regions and central government agencies met the indicators of IEC, but 8 regions did not reach the targets. The outsiders are the regions of Ulytau (52%), Abay (64%) and Zhambyl region (65%).
Ulytau and Zhambyl failed to meet the annual FDI plan last year as well. At the previous meeting of the Investstab, the akims of these regions promised that they would correct the situation this year. But, as we see, your regions are in last place among all regions", - Alikhan Smailov said.
Nurlan Urankhaev, akim of Abay region, Beibit Isabaev of Zhetisu region, Nurzhan Nurzhigitov of Zhambyl region, Ermaganbet Bulekbaev of Karaganda region, and Ulantay Usenov, deputy akim of Ulytau region, made reports on measures taken.
Having heard the speakers, the head of the government has underlined that following the results of the first half-year corresponding measures will be accepted concerning the officials supervising questions of investments.
Alikhan Smailov also noted the weak work in terms of IEC by the Ministries of Culture (62%) and digitalization (61%), indicating the need to increase the number of projects in the IT-sector, as well as to strengthen work on attracting investment in the tourism industry.
The Minister of Culture and Sports Askhat Oralov and Vice-Minister of Digital Development, Innovation and Aerospace Askar Zhambakin made comments on these issues.
Prime Minister stressed that the government has the task to bring the level of CII this year to 18.5 trillion tenge. In this connection regions and departments have to organize proactive work on attraction of investments into fixed capital considering the backlog.
At the session we also considered the results of work on attraction of direct foreign investments for last year.
As Deputy Minister of Foreign Affairs Almas Aidarov reported, their inflow amounted to $28 billion, which became a record figure for the last 10 years. 199 investment projects in key sectors of the economy worth 2.3 trillion tenge were commissioned. In 2023, it is planned to launch another 281 projects worth 1.9 trillion tenge.
The Top 10 countries-investors based on last year's results include the Netherlands, the USA, Switzerland, Belgium, Russia, South Korea, China, France, the UK and Germany.
Alikhan Smailov noted that the Head of the State set a task for the government to attract $150 bn of FDI till 2029.
This year we must attract at least $24 billion of foreign capital into the national economy. The ministers and the akims should take necessary measures to implement new and high-quality investment projects with foreign capital in priority sectors of the economy", - Prime Minister said.
In addition, the participants of the meeting considered the problematic issues in the implementation of major projects with the participation of foreign investors. Following the discussion, Alikhan Smailov instructed the responsible government agencies and organizations to take comprehensive measures to address them.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.
Kazakhstan companies can increase manufacturing production by another $46 billion
Images | primeminister.kz
The Prime Minister of Kazakhstan Alikhan Smailov continued a series of meetings with representatives of medium-sized businesses to discuss topical issues and measures of state support. The meeting on May 26 was attended by entrepreneurs from Akmola, Kostanay, Pavlodar and North Kazakhstan regions, primeminister.kz reports.
Deputy Minister of Industry and Infrastructural Development Ilyas Ospanov said that there is a possibility to increase the production in the manufacturing industry by $46 billion through domestic reserves, while Kazakhstan has the potential to additionally supply the macro-regional market with products worth almost $300 billion.
Among the main areas where there is an opportunity to develop domestic production: oil and gas engineering, production of construction materials, food and fertilizers, steel products, goods of aluminum and copper industries, processing of iron ore, cotton fiber, wool, leather, etc.
As a direct measure of state stimulus, this year it is planned to finance manufacturing projects worth over 500 billion tenge, including through the Industrial Development Fund and the Development Bank of Kazakhstan.
Yerbol Karashukeyev, Minister of Agriculture, noted that at present the agro-industrial complex of the country has a positive development dynamics. In this case the state continues to work on expanding access to finance and opening up new markets for manufactured products.
So, in part of the reform of subsidies, taking into account the proposals of the business community, a compromise version was developed, which provides for pinpoint changes aimed at reducing corruption risks, but with the preservation of the main contours of the current system.
Besides, in order to increase the availability of subsidies to agricultural producers, "waiting lists" have been launched within the implementation of the Unified Information System, which guarantee the satisfaction of submitted applications on a first-come, first-served basis. In general, at least 425 billion tenge will be allocated for subsidizing agriculture this year.
Through Agrarian Credit Corporation JSC 140 billion tenge is allocated for spring field and harvest works this year, of which 70 billion are medium-term and will be returned next year until April.
With regard to crediting, the forward purchase programme will be continued via NC Prodkorporatsiya for more than 71 billion tenge and 20 billion tenge is allocated to increase the authorised capital of JSC KazAgroFinance for the purchase of agricultural and fodder harvesting equipment. However, in all regions will start implementation of the program of crediting investment projects of agro-industrial complex by experience of North-Kazakhstan region. This year it will allocate 100 billion tenge for construction of 65 dairy farms. It is planned to give credits at 2.5 per cent up to 10 years with the maximum sum of 5 billion tenge.
In terms of expanding markets for domestic livestock products, work is underway to include Kazakhstan enterprises in foreign exporters' registers. Today 3 282 enterprises have the right to supply their products abroad.
With regard to plant products, over the past two years, 901 Kazakhstan enterprises were included in the register of the General Administration of Customs of China.
The participants of the meeting discussed the issues of preferential financing, providing stability of subsidies, modernization and automation of production, connection to engineering infrastructure, availability of land resources, development of small industrial zones, increase of localization, export support, fight against unfair competition and a number of other issues.
Speakers included heads of companies Enbek, Greenhouse Technologies of Kazakhstan, CHN, Turkey PVL, Raduga, Asyl Farms, Adal Agro, Asyl Farms, TEHNOPARK KZ, and others.
The heads of the central state and local executive bodies gave detailed comments on the topics raised. In particular, during the meeting the ways to solve several problematic issues were identified, for the rest the Prime Minister instructed the authorized agencies to carry out the appropriate study.
Alikhan Smailov stressed that the government will actively support initiatives of medium-sized businesses to create and expand new production facilities. Among main priorities here are localization, introduction of new technologies, digital transformation of enterprises, creation of competitive products of middle and upper redistribution, development of modern infrastructure.
For this purpose support is provided at all stages of the life cycle of production - from raw material base to promotion of finished products in domestic and foreign markets", - Prime Minister said.
He added that this year 170 projects worth more than 1 trillion tenge are planned for industrialization and 300 projects worth 540 billion tenge for agro-industrial complex. In parallel, the list of tax and customs preferences, including for exporters of finished products. At the local level support is provided on the allocation of land, infrastructure and other issues within the competence of the Akimats.
Alikhan Smailov pointed out that an important direction is increasing the efficiency of state support measures.
Businesses that receive state support should expand their production and ensure growth in the output of non-resource products. The priority should be given to the saturation of the domestic market. We must get the greatest economic effect from each project, which will contribute to the further diversification of the economy and the creation of permanent jobs," he said.
This information may not be reproduced without reference to Kazakhstan Today. Copyright of materials of News Agency Kazakhstan Today.