Kazakh-Canadian trade reaches $3 bln: minister (UPDATE)
By Aynur Jafarova
The trade turnover between Kazakhstan and Canada has reached $3 billion, Kazakh Oil and Gas Minister Uzakbay Karabalin said on October 23 at the opening of the Kazakh-Canadian business forum in Calgary, the oil capital of Canada.
"Over the past five years, the trade turnover between the two countries has increased four-fold to reach $3 billion," Karabalin said.
According to him, currently about 100 joint ventures with authorized capital of over $60 million are registered in Kazakhstan.
"As is known, Canada is currently among the top 20 countries with a strong economy, and Kazakhstan is one of the five fastest growing countries," the Kazakh minister said.
Karabalin also spoke about the current development of the Kazakh oil and gas sector, noting such three major oil and gas projects as Kashagan, Tengiz and Karachaganak.
"Within the Eurasia project we are going to start exploration in the Caspian basin where giant fields may be located, and this will double the resource potential of Kazakhstan," Karabalin said.
According to Karabalin, new opportunities are opening up for Canadian companies in Kazakhstan.
Recoverable oil reserves of the Kashagan field are estimated at 11 billion barrels, whereas total geological raw material reserves stand at 35 billion barrels. Besides, natural gas reserves are estimated at over 1 trillion cubic meters.
The Tengiz oil field is one of the deepest and largest oil fields in the world. Reserves of the deposit are estimated at 750 million to 1.1 billion tons (6-9 billion barrels) of recoverable oil.
Karachaganak is one of the world's largest fields. Its oil reserves amount to 1.2 billion tons, while those of natural gas are 1.35 trillion cubic meters.
Onshore oil and gas blocks
Karabalin said further that four onshore oil and gas blocks in Kazakhstan have been put up for a tender. "Their number will double next year," he said.
He noted that around 80 foreign companies operate in the country's oil and gas sector, including not only the largest and world-famous companies, but also small and medium-sized ones.
"Not only national, but also foreign companies can participate in the tender for developing new oil blocks. The main condition that was declared by our president for joining the projects in Kazakhstan's territory is that investors must bring new technologies with them," the minister said.
Synergy of traditional and alternative energy
Speaking at the 4th World Petroleum Council Youth Forum, Karabalin said that Kazakhstan chooses the path which involves synergy of all types of energy -- both traditional and alternative sources.
"Today, Kazakhstan is creating a pool of green economy, which involves the development of traditional energy sources to the level of 'green' ones, through the introduction of the newest energy generation technologies, as well as the development of alternative energy sources," Karabalin said.
According to him, such state policy is aimed primarily at educating the younger generation in the spirit of innovative thinking and approach.
"The fact that our country has committed itself to the development of the green economy complies with the dictates of time. Our efforts will be shown at the international exhibition EXPO-2017 in Astana," Karabalin said.
According to him, despite the availability of rich hydrocarbon and other natural resources, Kazakhstan is in favor of the synergy of traditional and alternative energy sources and the synergy of all the forces and trends in the energy sector.
Energy-rich Kazakhstan is currently looking for ways to use renewable energy sources. In late January, an action plan was adopted on the development of renewable energy sources for the period from 2013 to 2020.
Experts believe that Kazakhstan has to turn to alternative energy sources by 2030, as the traditional sources are being exhausted and their prices are rising. They charge about 20-30 percent of domestically consumed energy can be saved through the use of alternative energy resources.
According to a recently adopted concept for a transition to 'green economy', in case of high domestic prices for natural gas, the energy basket of the country will comprise 11 percent of wind and solar energy sources while the share of nuclear power will be 8 percent, hydropower 10 percent, gas 21 percent and coal 49 percent by 2030.
Given Kazakhstan's natural conditions, it is clear that the most promising alternative energy sector is wind power generation. Relevant studies conducted in the Central Asian state's regions showed that wind power generation has vast potential.