OPEC predicts significant increase in oil production in Kazakhstan by 2040
By Kamila Aliyeva
The Organization of the Petroleum Exporting Countries (OPEC) forecasts an increase in oil production in Kazakhstan to 2.7 million barrels per day by 2040 in its report.
At the moment, the Central Asian nation extracts an average of 1.8 million barrels per day. OPEC explains that Kazakhstan will keep the current figures until 2022, and since 2025 oil production will increase.
In 2025, the country will receive two million barrels per day. In 2030, this figure will reach 2.3 million barrels, in 2035 - 2.6 million barrels, and in 2040 - 2.7 million barrels.
OPEC analysts emphasize that Kazakhstan managed to level indicators to 1.74 million barrels per day in 2017, which demonstrates the implementation of the agreement on oil production cuts.
However, the growth of production is mainly affected by the Kashagan and Tengiz fields.
In Kazakhstan, the volume of oil production in 2017 amounted to 72.932 million tons, which is 11.2 percent more than in 2016, according to the statistics committee of the National Economy Ministry.
Kazakhstan's proven oil reserves as of early 2016 stood at 30 billion barrels, according to the BP Statistical Review of World Energy.
Tengiz, Karachaganak and Kashagan are the largest oil fields in Kazakhstan. Three oil giants will be able to bring Kazakhstan's oil production to a new level in the coming years even if new oil fields are not discovered. With the start of oil production at the Kashagan field, the forecasts of several international organizations on oil production in Kazakhstan immediately grew.
OPEC agreed on a total reduction in oil production by 1.8 million barrels per day at the end of 2016. Thanks to this, it was possible to stabilize world oil prices, which had been rapidly declining before.
In November 2016, the OPEC summit was held in Vienna, where OPEC members reached an agreement on reducing oil output by 1.2 million barrels per day. In December 2016 was a meeting of oil producers outside the OPEC. The meeting ended with signing an agreement to reduce oil production by a total of 558,000 barrels per day starting from January 2017.
OPEC and its partners decided to extend its production cuts till the end of 2018 in Vienna on November 30, as the oil cartel and its allies step up their attempt to end a three-year supply glut that has savaged crude prices and the global energy industry.
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Kamila Aliyeva is AzerNews’ staff journalist, follow her on Twitter: @Kami_Aliyeva
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