BAKU, Azerbaijan, September 9. Kazakhstan plans
to launch production of polyethylene, butadiene and urea by
2029.
This was announced by the press service of the Kazakhstan's
Ministry of Energy, citing statement made by Director of the
Petrochemical Department, Temirlan Urkumbayev at the 13th
Downstream Central Asia and Caspian Business Summit in Astana.
According to the Ministry, in the course of the meeting,
Urkumbayev noted that the petrochemical industry is one of the
promising areas for developing Kazakhstan's manufacturing
sector.
"He noted that to implement these objectives, the Ministry of
Energy approved a Roadmap for the Development of the Petrochemical
Industry for 2024-2030 in October 2024. The document includes six
key areas and 34 measures. The roadmap provides for the
implementation of five flagship projects with total investments of
about $12 billion, the creation of up to 20,000 permanent and
temporary jobs, expansion of domestic consumption of raw materials,
and increased production and export potential," the ministry
reported, citing Urkumbayev..
Particular attention is being paid to creating long-term and
predictable conditions for investors. In this regard, the Ministry
of Energy has drafted a law on the petrochemical industry, which is
currently under consideration by Kazakhstan's Kurultai.
The draft law is aimed at establishing a comprehensive
regulatory framework for the sector and provides mechanisms to
secure the raw material base, develop the domestic market,
systematically plan supplies and monitor the industry, regulate raw
material prices, and provide state support for investment
projects.
Moreover, it was noted that one of the key state support
instruments remains the National Industrial Petrochemical
Technopark Special Economic Zone. It has 19 registered participants
implementing major petrochemical projects, including polypropylene,
polyethylene and butadiene production.
According to Urkumbayev, Kazakhstan already operates Kazakhstan
Petrochemical Industries LLP, with a design capacity of 500,000
tons of polypropylene per year. The company produced 375,000 tons
of products in 2025. Construction is underway on a polyethylene
plant with an annual capacity of 1.25 million tons. The plant is
scheduled to be commissioned in 2029.
At the same time, a gas separation complex is being built to
provide the future polyethylene plant with the necessary raw
materials. The complex is also scheduled to be commissioned in
2029.
In addition, projects are being implemented in Kazakhstan to
produce up to 339,000 tons of butadiene and 880,000 tons of urea
per year. Thus, Kazakhstan is forming a full production chain, from
securing raw materials and developing basic petrochemical
capacities to expanding processing industries.
