Azernews.Az

By Aynur Karimova

Kazakhstan is considering to establish oil consortium to ensure the implementation of the Eurasia international oil project in the Caspian basin, according to remarks made by Kazakhstan's Deputy Energy Minister Uzakbai Karabalin at a July 27 briefing in Central Communications Service under the president.

"Kazakhstan is considering the establishment of the consortium on public-private partnership with the further implementation of works on the Eurasia project in 2016-2021 in order to ensure the implementation of tasks, in particular on such a large project," he said.

Karabalin also noted that Kazakhstan is developing a legal code on ubsoil and its adoption is scheduled for 2015-2016. The government plans to make amendments to the Tax Code in order to reduce the tax burden in conducting geological research, exploration of subsoils, as well as the implementation of the contract on the geological study of the Caspian Basin.

"Thanks to the measures worked out, it is planned to provide the transfer of advanced technologies to Kazakhstan for exploration works and identification of promising oil and gas fields," the minister said. "The creation of favorable conditions for attracting investments in oil and gas and related industries, service and accompanying infrastructure will ensure the increase of recoverable reserves at least by two-fold."

The Eurasia project is estimated at about $500 million. It will be carried out in three phases.

The first phase envisages the collection and processing of materials from previous years. The second phase includes large-scale research. The last phase includes the drilling of a new support-parametric well called Caspian 1, at the depth of nearly 14-15 kilometers.

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Aynur Karimova is AzerNews’ staff journalist, follow her on Twitter: @Aynur_Karimova

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