Kazakhstan's Tengiz oil field nears full capacity with start of new production

Tengizchevroil (TCO), a major oil consortium operating in Kazakhstan, has officially begun production of its first oil at the Tengiz field as part of the ambitious Future Expansion Project (FEP).

TCO announced his milestone, which marks a key moment in the growth of the Tengiz field, in a statement to journalists, Caliber.Az reports, citing foreign media sources.

The new phase of production is centred around the Third Generation Plant (TGP), a critical component of the FEP, which aims to significantly increase the field’s oil output. With this achievement, the project enters a phase of gradual ramp-up, expected to add an additional 12 million tonnes of oil production per year over the coming months.

TCO's plans for the Tengiz field are substantial, as once all facilities within the project reach full operational capacity, the company forecasts that total annual production will surge to an estimated 40 million tonnes. This increase will not only enhance TCO's output but also contribute to Kazakhstan’s role as a key player in the global energy sector.

Kevin Lyon, CEO of TCO, praised the project's successful execution, describing the Future Expansion Project as a significant achievement both in scale and complexity. He also noted that the full realization of the project will unlock further value for both Kazakhstan and TCO's shareholders, demonstrating the long-term potential of the Tengiz field.

Tengizchevroil LLP is a joint venture made up of key global players in the oil and gas industry. The partners include Chevron (50%), ExxonMobil Kazakhstan Ventures Inc. (25%), Kazakhstan's national oil company KazMunaiGas (20%), and Russian energy giant LUKOIL (5%).

The Tengiz field, one of the largest oil reserves in Kazakhstan, has been a critical part of the country’s oil industry for decades. The Future Expansion Project, which started in 2016, is designed to unlock new potential at the field, furthering Kazakhstan’s oil production capabilities and enhancing its export capacity. The FEP will also bring significant technological advancements to the project, enabling greater efficiency and sustainability in oil extraction.

The completion of the FEP comes at a time when Kazakhstan is positioning itself as a key energy hub in Central Asia, attracting foreign investment and strengthening its partnerships with multinational oil companies. The successful implementation of the expansion will have far-reaching economic and geopolitical impacts, both for Kazakhstan and its international partners.

By Tamilla Hasanova