BAKU, Azerbaijan, July 16. Kazakhstan's
National Oil and Gas Company KazMunayGas (KMG) and China's CNOOC
Group discussed joint execution of the Zhylyoi oil and gas
exploration project.
This was reflected in the statement published by KMG.
The discussions were held during the talks between Kurmangazy
Iskaziyev, First Deputy Chairman of the Management Board of
Kazakhstan's National Oil and Gas Company KazMunayGas (KMG) and
Zhang Chuanjiang, Chairman of CNOOC Group, and Liu Yongjie, CEO of
CNOOC International.
A central focus of the negotiations was the joint execution of
the Zhylyoi oil and gas exploration project, located in the transit
zone of the northeastern part of the Caspian Sea. The venture is
structured on a 50/50 parity basis, with the Chinese corporation
fully financing the initial exploration period, which carries a
minimum investment of approximately $31.5 million.
To map the block's potential, the partners plan to initiate
active field operations in the near future.
"By the end of 2026, the joint venture is scheduled to commence
3D field seismic exploration works covering an area of 400 square
kilometers," KMG announced.
In addition to the 3D seismic campaign, the minimum work program
includes reprocessing 400 linear kilometers of historical 2D
seismic data, drilling a 2,000-meter-deep supra-salt exploration
well, and potentially drilling a deeper, 4,500-meter pre-salt
exploration well depending on the seismic results.
During the talks, the delegations also reviewed prospects for
expanding KMG and CNOOC cooperation through new oil and gas assets
in Kazakhstan. Notably, the Chinese side expressed strong interest
in participating in large-scale seismic exploration targeting deep
sub-salt Paleozoic sediments within the broader Pre-Caspian
sedimentary basin.
