Europe / Caspian / CIS

Country profile: Kazakhstan

Location:

Central Asia, northwest of China; a small portion west of the Ural River in eastern-most Europe

Climate:

continental, cold winters and hot summers, arid and semiarid

Terrain:

extends from the Volga to the Altai Mountains and from the plains in western Siberia to oases and desert in Central Asia

Size:

2717300 sq. km total (Land area: 2669800 sq. km Water area: 47500 sq.km)

Population:

15,340,533 (July 2008 est.)

Languages:

Kazakh (Qazaq, state language) 64.4%, Russian (official, used in everyday business, designated the "language of interethnic communication") 95% (2001 est.)

Government:

republic; authoritarian presidential rule, with little power outside the executive branch

Capital city:

Astana

Legal system:

based on Islamic law and Roman law; has not accepted compulsory ICJ jurisdiction

Currency:

tenge (KZT)

Licensing:

Country profile

Kazakhstan has the Caspian Sea region's largest recoverable crude oil reserves, and its production accounts for over half of the roughly 2.8 million barrels per day (bbl/d) currently being produced in the region (including regional oil producers Azerbaijan, Uzbekistan, and Turkmenistan). Kazakhstan oil exports are the foundation of the country’s economy and have ensured that average real GDP growth has stayed above 9 percent for the last 6 years.

Real GDP growth during 2007 averaged 9.5 percent. Kazakhstan's growing petroleum industry accounts for roughly 30 percent of the country’s GDP and over half of its export revenues. In an effort to reduce Kazakhstan's exposure to price fluctuations for energy and commodities exports, the government created the National Oil Fund of Kazakhstan. Due to high oil prices the international reserves and assets in the oil fund have doubled in the last year to $20 billion in October 2007.

Native Kazakhs, a mix of Turkic and Mongol nomadic tribes who migrated into the region in the 13th century, were rarely united as a single nation. The area was conquered by Russia in the 18th century, and Kazakhstan became a Soviet Republic in 1936. During the 1950s and 1960s agricultural "Virgin Lands" program, Soviet citizens were encouraged to help cultivate Kazakhstan's northern pastures. This influx of immigrants (mostly Russians, but also some other deported nationalities) skewed the ethnic mixture and enabled non-Kazakhs to outnumber natives.

Independence in 1991 caused many of these newcomers to emigrate. Kazakhstan's economy is larger than those of all the other Central Asian states combined, largely due to the country's vast natural resources and a recent history of political stability. Current issues include: developing a cohesive national identity; expanding the development of the country's vast energy resources and exporting them to world markets; achieving a sustainable economic growth; diversifying the economy outside the oil, gas, and mining sectors; enhancing Kazakhstan's competitiveness; and strengthening relations with neighboring states and other foreign powers.

Energy production and consumption

Oil

Gas

Production:

1 million bbl/day (2005 est.)

Consumption:

234,000 bbl/day (2005 est.)

Exports:

1 million bbl/day (2004 est.)

Imports:

113,600 bbl/day (2004 est.)

Reserves:

9 billion bbl/day (2006 est.)

Major fields:

Kazakhstan - recent news

22 Jul 24	Kazakhstan: Caspian Sunrise reports improved terms for the proposed sale of the BNG shallow structures Caspian Sunrise has updated shareholders with news of improved terms on the proposed conditional disposal of the MJF and South Yelemes shallow structures at the BNG Contract Area, which was originally announced on 14 May 2024.
18 Jul 24	Kazakhstan: Condor Energies signs its first LNG Framework Agreement in Kazakhstan Condor Energies, a Canadian based energy transition company focused on providing stable and sustainable energy transition solutions, has announced the signing of its first LNG Framework Agreement for the utilization of liquefied natural gas ('LNG') to fuel Kazakhstan’s rail locomotives.
17 Jul 24	Kazakhstan: Eni and KazMunayGas announce commencement of construction for 250 MW Hybrid Power Plant in Kazakhstan Eni and the National Company KazMunayGas (KMG) have announced the commencement of construction for their joint 250 MW Hybrid Renewables-Gas Power Plant Project in Zhanaozen, Mangystau Region, Kazakhstan.
08 Jul 24	Kazakhstan: Karachaganak Expansion Project advances with key milestone Karachaganak Petroleum Operating (KPO) has announced a major milestone in the Karachaganak Expansion Project (KEP-1A), marking a pivotal moment in Kazakhstan’s energy sector. Fuel gas has been successfully introduced, and the project is now in the final stage of commissioning. In the coming weeks, this will enable the initiation of reservoir injection through the operation of the fifth compressor.
18 Jun 24	Kazakhstan: Technip Energies and KPSP signs a long-term services agreement with KPO for the development of the Karachaganak field in Kazakhstan Technip Energies, through its joint-venture TKJV LLP with KPSP, has announced the signing of a long-term services frame agreement with Karachaganak Petroleum Operating B.V. (KPO) for the development of the Karachaganak field, located in northwest Kazakhstan near Aksai.