Kazakhstan remains committed to its obligations under the OPEC+ agreement. This was announced by the Minister of Energy of the Republic of Kazakhstan, Almasadam Satkaliyev, as reported by the Kapital.kz business information center, citing the press service of the industry department.
“The Minister of Energy of the Republic of Kazakhstan, Almasadam Satkaliyev, held phone discussions with His Royal Highness Prince Abdulaziz bin Salman, Chairman of OPEC+ and Minister of Energy of Saudi Arabia, as well as with Alexander Novak, Deputy Prime Minister of the Russian Federation and Co-Chairman of OPEC+, and Haytham Al-Ghais, Secretary General of OPEC. During the discussions, Almasadam Satkaliyev provided a technical explanation regarding the increase in oil production in Kazakhstan in January,” the information states.
The Minister clarified that the increase is linked to the commencement of oil production at the new third-generation plant (ZTP) at the Tengiz oil field as part of the Future Expansion Project. The Minister of Energy explained that the initial plan was for the increase in production to begin in June-July 2025. Almasadam Satkaliyev also added that the increase in production resulted from a one-time temporary test conducted after the technical maintenance of the field and the commissioning of a new processing facility at the Tengiz field.
“Almasadam Satkaliyev confirmed that Kazakhstan remains fully committed to its obligations under the OPEC+ Agreement, including the compensation mechanism. Kazakhstan will take further steps to fulfill its obligations, including reducing production at other oil fields to compensate for the excess in January. The Minister also added that Kazakhstan will present an updated compensation plan, taking into account both overproduction and unmet compensation volumes in January,” the released statement said.
The Chairman and Co-Chairman confirmed the critical importance of fully meeting obligations and compensation under the OPEC+ agreement and emphasized the role of voluntary reductions and efforts made by several OPEC+ countries to maintain market stability, noted the Ministry of Energy.
It is worth recalling that it was previously reported that during the 58th meeting of the Joint Ministerial Monitoring Committee of OPEC+, Kazakhstan reaffirmed its commitment to the OPEC+ agreement. Kazakhstan will take necessary measures in 2025 and 2026 to meet its obligations and compensate for overproduction in 2024.
The country will present a new compensation schedule for violations.
The OPEC+ Ministerial Monitoring Committee welcomed the improved commitment to the agreements by Kazakhstan during the meeting, including additional production cuts (the countries are participating in additional reductions alongside 8 other member countries).
The OPEC+ alliance committee also decided not to change the current oil production policy.