Astana gasification project cost announced

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ASTANA. KAZINFORM Minister of Energy Kanat Bozumbayev has announced the cost of construction of Saryarka gas pipeline, Kazinform correspondent reports.

"KazTransGas company has made a technical feasibility study of  Saryarka gas pipeline construction project. The pipeline will run from Kyzylorda region to Zhezkazgan, from Zhezkazgan to Karaganda and then to Astana. The second stage of the project is construction of a 2,300km pipeline from Kokshetau to Petropavlovsk, while the length of the pipeline to Astana will make 1,800km. The project is estimated at 236bln tenge and will let us deliver up to 3bln cubic meters of gas to the northern regions," Bozumbayev said at a meeting of the Energy Ministry's Public Council.

According to him, the feasibility study of the project was approved by State Expertise a month ago.

However, the cost of the gas for final consumers turns out to be too high.

"KazTransGas proposes to average gas prices across the country by means of postage stamp method, because in some regions  gas prices are much lower than in others. We need to calculate whether the population and business will be able to pay for high tariffs. I am going to discuss this issue with Mayor of Astana Asset Issekeshev and report about the results to the Prime Minister next month," the Minister explained.

Kanat Bozumbayev told also about an alternative to Saryarka project. "I mean a liquefied natural gas which is not used in Kazakhstan. This gas is converted to a liquid form at extreme low temperatures. It is then transported by railway, pumped into gas installations and in-situ temperature gas turns into methane," he said and added that between the two alternatives, Astana will likely choose the cheaper one. 

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