BAKU, Azerbaijan, May 18. Kazakhstan's KazMunayGas national company and Chinese Sinopec oil and gas enterprise signed an agreement in principle regarding the joint implementation of the polyethylene project in the Atyrau region, Trend reports via the press service of KazMunayGas.
The agreement was signed as part of the state visit of Kazakhstan's President Kassym-Jomart Tokayev to China.
The document assumes that Sinopec will join the project as an equal partner alongside the Russian SIBUR petrochemicals company.
As part of Sinopec's future involvement, the parties will sign an agreement regarding the acquisition of ownership stakes and other binding documents.
The final investment decision (FID) by the project participants is expected in 2024.
"I am sure that Sinopec's successful experience in the design, construction and operation of such technologically complex petrochemical facilities will have a positive impact on our project, as well as increase the investment attractiveness of Kazakhstan's petrochemical industry," said Magzum Myrzagaliev, Chairman of the Management Board of KazMunayGas.
The inclusion of Sinopec as an equal partner will enable the utilization of the company's technologies and expertise in the construction of petrochemical facilities. Additionally, it opens up opportunities for future distribution of the finished products within the territory of China.