Projected capacity of Amangeldy field to reach 350,000 cubic meters a day

/IRBIS, Apr 12, 01/ - The GSRW inform, with the reference to Uzakpay Karabalin, Vice Minister of Energy and Natural Resources, that projected production rate of Amangeldy field will amount to about 350,000 cubic meters per day. The expected price of gas will be approximately $35 per 1000 cubic meters and profitability 16%. The planned annual production of 660 million cubic meters is expected to partially meet the gas demand in the southern region of the country which consumes some 1.5 billion cubic meters of gas annually. The Amangeldy project has been developed by KazTransGas which has been granted, by governmental decision, the right to explore and produce hydrocarbons and nitrogen-helium gas mixture in Jambyl oblast. The area of the contracted fields, including Amangeldy, Anabay, Ayrakty and Kumyrly, totals 8,810.7 square kilometers. These fields which were explored in the 60- 70's have been temporarily closed down; none of them has ever been developed. The project costs amount to $140 mln. Some $18.7 mln will be allocated during the 1st year and another $122.6 will be allocated during the 2nd year. The government has decided to contribute $50 mln as a grant ($20 mln in 2001 and $30 mln in 2001). The investment will cover the construction of a road, a camp, power transmission lines, etc. KazTransGas was created in February 2000 by a resolution of the Kazakh government. The company's sole owner is KazTransOil national oil transportation company which controls the entire oil transport infrastructure of the country. KazTransGas, in turn, owns 100% shares of Intergas Central Asia and controls the main gas transportation network with the total length of 9,000 km and the annual capacity of 190 billion cubic meters.