Published: 27 October 2023

Today Astana hosted the first ENERGY TRENDS: Gas & Petrochemicals conference dedicated to new capital projects in gas production, processing, transportation and storage in the Republic of Kazakhstan.

At the panel session devoted to further development of petrochemical and gas chemical industry in the Republic of Kazakhstan, Mr. Diaz Diyanov, Deputy Chairman of the Management Board of KMG PetroChem LLP, presented the current and prospective petrochemical and gas chemical projects of the company.

As the speaker noted, in order to monetize available feedstock resources and to provide the country with base polymers, which are highly demanded both in Kazakhstan and world wide, KMG PetroChem is continuously working on the implementation of major petrochemical projects: Gas Separation Complex, Trunk Pipelines and Polyethylene. Prospective projects including PTA/PET and Urea projects are also under consideration.

Diaz Diyanov also shared information on construction of gas separation complex project. This will be the first Kazakhstani project with such processing capacity - 9.1 billion cubic meters of Dry gas per year. Based on it, Kazakhstan will start recovering Ethane for the first time and send it to production of Polyethylene in the amount of up to 1.6 million tons per year, instead of burning it.

It should also be noted that availability of Kazakhstan's own polymer production capacities opens up new horizons for SMEs, which will be able to establish the production of end products for household and industrial applications. This in turn will result in creation of new jobs and improve the quality of life of the country's population.

For Reference

KMG PetroChem LLP (former KLPE LLP) is a 100% subsidiary of NC KazMunayGas JSC. The company implements and coordinates projects in the petrochemical area within KMG Group. The scope of KMG PETROCHEM's activities includes the Polyethylene plant and the Gas Separation Complex currently under design, as well as prospective petrochemical projects including PTA/PET, Urea projects.

The Gas Separation Complex is of utmost importance for our country. The products received from the GSC - Ethane - will be used in the production of Polyethylene, an important feedstock for plastics production. The construction of the GSC will create new jobs and raise the level of employment in the region. Treated gas, which will be 100% Methane, environmentally friendly, will be sent to consumers and will not adversely affect the health of the population.

The 210 km long Trunk Pipelines are being implemented by KMG PetroChem to ensure reliable, uninterrupted and safe supply of Propane and Ethane feedstock to the Polypropylene and projected Polyethylene plants.

Polyethylene is the most demanded polymer in the world, its annual consumption is more than 100 million tons per year or 32% of the total amount of polymers consumed. The high demand for Polyethylene is based on the fact that this polymer is used to manufacture a large number of household and industrial applications and goods, including, for instance, polyethylene pipes, construction and packaging materials, automotive components and is used even for the inner lining of spacecrafts.

PET is also a strongly sought-for polymer worldwide. It has high mechanical strength and impact resistance, is resistant to abrasion and repeated tensile and bending deformations, and is not affected by water. The material is not affected by organic solvents and operating temperature ranges from -40 C to +60 °C. PET has a wide range of applications: plastic packaging for beverages, food packaging, fibers, industrial threads, X-ray and video film, automotive components, medical products.

Urea is the most demanded nitrogen fertilizer in Kazakhstan and its demand is met mainly through imports. It is easy to store and transport, and because it is well absorbed by plants, crop yields are significantly increased by its use.