BAKU, Azerbaijan, July 25. Kazakhstan’s Kashagan Gas Processing Plant has reached 60% completion, with 97% of major equipment already delivered, Energy Minister Yerlan Akkenzhenov said during an inspection visit, QazaqGaz's statement says.
The plant, being implemented by GPC Investment, a subsidiary of QazaqGaz, will process 1 billion cubic meters of associated gas annually and produce around 727 million cubic meters of commercial gas per year after commissioning. Approximately 2,000 specialists are currently involved in construction works. Installation of process equipment, engineering systems and key production facilities is underway, while construction of the accommodation camp and railway infrastructure for oversized cargo delivery has been completed.
"The Kashagan Gas Processing Plant is of strategic importance for the further development of Kazakhstan’s gas industry. Commissioning the plant will increase processing of associated gas, improve the efficiency of developing one of the country’s largest oil and gas fields, and supply additional volumes of commercial gas to the domestic market. Our task today is to ensure its timely commissioning," Akkenzhenov said.
QazaqGaz Chairman Alibek Zhamauov said the company continues to closely monitor implementation of the project. "Implementation of the project is under constant monitoring by QazaqGaz. Understanding the project's importance for the country's economy, we are taking all necessary measures to ensure the quality and timely completion of the Kashagan Gas Processing Plant's construction," he said.
The Kashagan Gas Processing Plant is being developed as part of Kazakhstan’s efforts to expand domestic gas processing capacity and improve the utilization of associated gas produced at one of the country’s largest oil fields. The project builds on decades of complex engineering work at Kashagan, where international companies have developed offshore and onshore infrastructure under challenging environmental and technical conditions.
Saipem Country Manager for Romania, Azerbaijan, Kazakhstan and Türkiye Ernesto Ferlenghi told Trend that the company has been involved in Kazakhstan since 1995 and contributed to the development of the Kashagan field.
"We’ve been working in Kazakhstan since 1995 and in Azerbaijan since 1996. Our involvement reflects a commitment to providing innovative, sustainable and technologically advanced solutions for complex energy projects," Ferlenghi said.
According to him, Saipem participated in the Kashagan oil field project between 2009 and 2016, carrying out engineering, procurement, construction and installation works for offshore infrastructure. The company was responsible for the development of offshore facilities, including 95 kilometers of underwater pipelines connecting offshore platforms with onshore infrastructure. "This was a record-breaking achievement. It included the longest pipeline shore pull in floating conditions, spanning 10 kilometers. It was executed in an isolated area with a very shallow profile, and significant attention was paid to environmental conservation," Ferlenghi said.
Trend’s analysis shows that he Kashagan Gas Processing Plant represents the next stage in the development of one of Kazakhstan’s most technically complex energy assets. While earlier phases focused on establishing offshore production infrastructure, the current priority is improving associated gas utilization and expanding domestic gas supply.
The delivery of 97% of major equipment indicates that the project has moved into one of the most important stages - installation, integration and preparation for commissioning. These phases typically require extensive testing and coordination between multiple technical systems before a large-scale processing facility can begin stable operations.
The plant is expected to process 1 billion cubic meters of associated gas annually and provide around 727 million cubic meters of commercial gas to the domestic market. For Kazakhstan, additional gas supply has become increasingly important amid rising demand from industrial projects, urban gasification programs and energy infrastructure development.
Kashagan remains one of Kazakhstan’s largest hydrocarbon assets, with oil production capacity significantly contributing to the country’s overall output. However, offshore fields require comprehensive management of associated gas volumes, making gas processing infrastructure an important element of long-term production efficiency. The project also has an environmental dimension. Kazakhstan has committed to reducing routine gas flaring under the World Bank’s Zero Routine Flaring by 2030 initiative, and additional processing capacity is expected to improve associated gas utilization and support emissions management efforts.
In Trend’s assessment, the Kashagan Gas Processing Plant combines several strategic objectives for Kazakhstan: increasing domestic gas availability, strengthening operational flexibility at a major oil field, and supporting environmental commitments. The government’s focus on timely completion reflects the project’s importance for both the energy sector and broader economic development plans.
