Share

Oil from Kazakhstan's Kashagan field exported for first time

Moscow - Kazakhstan's vast offshore Kashagan oil field has produced its first crude for export, authorities in the ex-Soviet nation said Friday, in spite of many setbacks.

More than 26,000 tonnes of crude oil and 22.8 million cubic meters of natural gas have been produced and were shipped Friday through various pipelines, the Kazakh energy ministry said in a statement.

"The first batch of export oil was shipped today from Kashagan," it said, adding that some testing is still ongoing.

"Reaching stable operation will take some time."

The Kashagan field, located in the north of the Caspian Sea, is viewed as one of the largest oil discoveries of the past 40 years.

Authorities have said that production at the field will be launched officially at a ceremony on October 23.

Plagued with a number of problems including a failed launch over recurring gas leaks in 2013, the start of production at Kashagan comes amid plunging crude prices.

Kashagan's operator, the North Caspian Operating Company, said Friday it was poised to "gradually increase production capacity to a target level of 370 000 barrels per day by the end of 2017."

Energy companies Total, Eni, ExxonMobil, Shell and Kazakh state champion KazMunayGas, as well as Japanese firm Inpex and China's CNPC, are involved in the Kashagan field project.

Read Fin24's top stories trending on Twitter:

We live in a world where facts and fiction get blurred
Who we choose to trust can have a profound impact on our lives. Join thousands of devoted South Africans who look to News24 to bring them news they can trust every day. As we celebrate 25 years, become a News24 subscriber as we strive to keep you informed, inspired and empowered.
Join News24 today
heading
description
username
Show Comments ()
Rand - Dollar
18.94
-0.2%
Rand - Pound
23.91
-0.1%
Rand - Euro
20.43
+0.2%
Rand - Aus dollar
12.34
+0.1%
Rand - Yen
0.13
-0.2%
Platinum
910.50
+1.5%
Palladium
1,011.50
+1.0%
Gold
2,221.35
+1.2%
Silver
24.87
+0.9%
Brent Crude
86.09
-0.2%
Top 40
68,346
+1.0%
All Share
74,536
+0.8%
Resource 10
57,251
+2.8%
Industrial 25
103,936
+0.6%
Financial 15
16,502
-0.1%
All JSE data delayed by at least 15 minutes Iress logo
Company Snapshot
Editorial feedback and complaints

Contact the public editor with feedback for our journalists, complaints, queries or suggestions about articles on News24.

LEARN MORE
Government tenders

Find public sector tender opportunities in South Africa here.

Government tenders
This portal provides access to information on all tenders made by all public sector organisations in all spheres of government.
Browse tenders