Photo: kmg.kz
Kazakhstan’s Ministry of Energy, national oil and gas company KazMunayGas, and CNOOC Hong Kong Holding Limited (a subsidiary of China’s CNOOC Limited) have signed a contract for the exploration and production of hydrocarbons under the Zhylyoi Project, located in the transitional zone of the northeastern Caspian Sea. The announcement was made by the Kazakh company’s press service.
“This event marks an important milestone in the development of strategic cooperation between Kazakhstan and China in the oil and gas sector. This is CNOOC’s first entry into Kazakhstan with direct investment, starting specifically with a geological exploration project,” the statement reads.
The project will be implemented on a 50/50 parity basis, with CNOOC financing the exploration phase. Plans include drilling a 2-kilometer-deep well, conducting further seismic surveys, and drilling a second well to a depth of 4.5 kilometers.
According to preliminary estimates by KazMunayGas, the geological potential of the site exceeds 185 million tons of oil. The company launched a search for a strategic partner for the project in September last year.
CNOOC (China National Offshore Oil Corporation) is China’s third-largest national oil company after CNPC and Sinopec. It specializes in the exploration and production of hydrocarbons and collaborates with international partners in major projects across more than 20 countries.
