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  Wednesday, July 8, 2020
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By September 15, Kazakhstan and Gazprom will finalize a draft contract on gas deliveries from the Karachaganaksk deposits to the Orenburg gas processing plant
This decision was made at a meeting on Gazprom-Kazakhstan cooperation in gas processing. The final draft will contain a long-term gas price formula. The contract, which involves Gazprom, the Orenburggazprom company and Karachaganaksk integrated company (Kazakhstan), provides for an increase of Kazakh gas to the Orenburg plant from 7 to 8.5 billion cubic meters annually beginning in 2005. At the meeting it was stressed that by the end of the year the Orenburg plant would be technologically adapted so that it could perform this task. The meeting also focused on the establishment of a joint venture to modernize the Orenburg plant to increase the volume of Kazakh gas processing to 15 billion cubic meters a year. By September 15, Gazprom will finish a feasibility report on the modernization of the Orenburg plant, determine potential buyers of its additional output and the cost as well as to agree with the Kazakh side on the composition of the joint venture. Gazprom and Kazakhstan are busy negotiating a long-term gas cooperation agreement for a period of 15-20 years.
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