«KazTransGas» JSC attracts British investors for the gasification of Astana
OREANDA-NEWS. November 06, 2015. The meeting of the Kazakhstan-British Intergovernmental Commission on trade-economic, scientific-technical and cultural cooperation took place in the course of the visit of President of the Republic of Kazakhstan Nursultan Nazarbayev to Great Britain. The Memorandum of Mutual Understanding between "KazTransGas" JSC and Independent Power Corporation PLC has been signed within the framework of the meeting.
Kairat Sharipbayev, Director General of "KazTransGas" JSC, and Peter Earl, President of Independent Power Corporation PLC, participated in the signing ceremony.
The Memorandum provides for the construction of four gas-turbine power stations along "Saryarka" main pipeline used for the gasification of Astana, the capital of Kazakhstan, and northern and central regions of the republic as well.
The document states that British partners undertakes to finance the construction of 4 gas-turbine power stations in Astana, Karaganda, Temirtau and Zhezkazgan with nominal capacity of 400 mW. Target investment amount – 3 bln 100 mln USD.
For the account of investment from Independent Power Corporation PLC "KazTransGas" JSC will build "Saryarka" main pipeline from "Beineu-Bozoi-Shymkent" main pipeline to Astana, and shall ensure the gas transportation and delivery for gas-turbine power stations. At that, all construction and assembly works will be carried out by Kazakhstani companies.
The project on gasification of Astana, northern and central regions of Kazakhstan shall allow providing efficient and convenient heating system, increasing the power output. In addition, the use of natural gas will positively affect on the environmental situation in the region. New "Saryarka" pipeline will provide consumers with domestic natural gas from "Beineu-Bozoi-Shymkent" main pipeline.
The Memorandum of Mutual Understanding between "KazTransGas" JSC and Independent Power Corporation PLC shall serve as the ground for development of close commercial relationships, increase of bilateral investments and transfer of investment technologies between Kazakhstan and Great Britain.
Kairat Sharipbayev, Director General of "KazTransGas" JSC, noted that works on design and construction of "Saryarka" main pipeline for the gasification of Astana, northern and central regions of Kazakhstan are performed by order of Head of State Nursultan Nazarbayev. He reported that after consideration of various variants and projects on gasification of the capital, northern and central regions of Kazakhstan, the most optimal pipeline diagram and route have been selected. This project is one of priority projects for "KazTransGas" JSC. Specialists of the company chose the most efficient construction variant for its implementation considering the use of operating pipelines currently kept in conservation. It shall allow reducing sufficiently the net cost of the pipeline construction and setting comfortable gas price and rates for consumers.
Reference: Independent Power Corporation Plc ("IPC") is one of the United Kingdom’s leading power developers and power plant operators. Founded in 1995, IPC has developed, owned or operated 7,000 MW of thermal and hydro power generation facilities in North America, Latin America, South Africa, Asia and Europe.
IPC has operated power plants for third parties, such as BP, and has qualified to operate plants owned by BG, Lukoil and Shell as well as qualifying for projects funded by multinational lenders including the Asian Development Bank (ADB), the European Bank for Reconstruction and Development (EBRD), the Andean Development Corporation (CAF), and the International Finance Corporation (IFC) arm of the World Bank.