Azernews.Az

Kazakhstan is planning to pump 14 million tons of oil via the Kazakhstan - China pipeline in 2014, the General Director of KazTransOil Kairgeldy Kabyldin told reporters.

"As for the expansion of the Chinese pipeline, we have reached the expansion to 14 million tons in the section Atasu - Alashankou. Last year, we were able to pump 12 million tons through it. Expansion of this area under a transit oil, that we are planning to get in late 2013, will be completed in 2014," Kabyldin said.

The Atasu - Alashankou pipeline with a capacity of 10 million tons was launched in 2005. The design capacity has to be 20 million tons.

According to him, as to construction of the entire pipeline system from Atyrau to Alashankou, negotiations are currently being held with China on commercial terms and mutually acceptable balance.

"These negotiations will be completed this year. Expansion in the area from Atyrau to Atasu is scheduled to begin in 2013 and be completed in 2014," Kabyldin said.

These negotiations will affect the issues of the resource base provision, the definition of commercial parameters, in particular tariffs.

"Today, about 100 billion tenge (150.64 tenge = $ 1) are required to bring the capacity of Atyrau - Alashankou section to 20 million tons," the head of KazTransOil said.

Kazakhstan's state oil and gas company, KazMunaiGas, together with the China National Petroleum Corporation is working on the project of the construction of the Kazakhstan-China pipeline, the implementation of which will connect the two separate oil pipeline systems in Kazakhstan and ensure the supply of hydrocarbons to the promising Chinese market.

In the first place, the construction of the Kazakhstan-China aims to diversify the oil transportation directions in the framework of the policy on creation of a multi-vector system for transportation of hydrocarbons of independent Kazakhstan.

The construction of the Kazakhstan - China oil pipeline is planned in two phase. The first phase was the implementation of the project Atasu - Alashankou, the construction of which was conducted in accordance with the Framework Agreement between the government of Kazakhstan and the government of China on the development of comprehensive cooperation in the field of oil and gas signed in Beijing on May 17, 2004.

Route length of Atasu-Alashankou pipeline is 962 km. The pipeline diameter is 813 mm. The capacity of the first phase is 10 million tons per year, with further expansion to 20 million tons a year. The route of the pipeline passes through three areas: Karaganda, East Kazakhstan and Almaty to final Alashankou in China. The project is financed by debt financing guaranteed by the Chinese side. The construction is fully completed in 2008.

About 30.8 million tons a year was transported through Atasu-Alashankou since commissioning.

The project of building the Kenkiyak-Kumkol oil pipeline with capacity of 10 million tons per year is the first stage of the second phase of the project of construction of the Kazakhstan-China oil pipeline.

Kenkiyak-Kumkol oil pipeline with length of 794 km and a diameter of 813 mm pass through the territories of Aktobe, Kyzylorda and Karaganda regions of Kazakhstan. Throughput capacity of the pipeline is 10 million tons per year, expandable to 20 million tons a year. The project was financed by debt financing guaranteed by the Chinese side. The construction of the first stage of Kenkiyak-Kumkol pipeline is fully completed in December 2010.

It is planned to achieve full design capacity - 20 million tons per year at Alashankou in the frame of the second phase.