Negotiations on Atasu-Alashankou pipeline expected soon

The project of Atasu-Alashankou oil pipeline construction with a total length 988 kilometres has been discussed today, on 20 April, at a government meeting chaired by the prime minister Danial Akhmetov, KZ-today correspondent has been informed in the press service of prime minister.

The head of government stressed at the meeting that the main parameters of the project under consideration had already been discussed, therefore the current task was to define measures on establishment of a joint venture with the Chinese party and a basic model of the project.

According to specialists, the demand for oil in Western areas of PRC will exceed the offer in the nearest future and this tendency will be growing from year to year. As a result of new pipeline construction the Chinese party will be receiving oil not only from Central Kazakhstan, but also from the Caspian region. Today there are several options for financing the oil pipeline construction. Final negotiations will take place next week.

At the same time, taking into account the necessity of the soonest possible diversification of Kazakhstani oil export and a possible integration of oil pipeline systems of Kazakhstan, Russia, and China, the prime minister has posed a task before the ministries and "KazMunaiGas" NC" CJSC to prepare documents and all necessary procedures within 10 days to start realising the project already next year.