Kazakh President Outlines Priority Areas for Cooperation with CITIC Group, Sinopec

ASTANA – Kazakh President Kassym-Jomart Tokayev held talks with the largest Chinese companies on Oct. 17 in Beijing to outline priorities for cooperation, reported the Akorda press service.

Kassym-Jomart Tokayev met with Zhu Hexin, chairman of CITIC Group. Photo credit: Akorda.

At the meeting with Zhu Hexin, chairman of CITIC Group, one of China’s largest conglomerates, the sides addressed strengthening partnerships in energy and the petrochemical industry. According to Tokayev, regular meetings indicate the strategic nature of bilateral cooperation.

In May, CITIC Construction signed five documents with the Kazakh partners to implement projects with a total investment of $2 billion. 

“One of the key projects is the expansion of production capacity of Aktau bitumen plant Caspi Bitum on oil processing up to 1.5 million tonnes per year. I was informed that a corresponding agreement has been signed between Kazmunaygas and CITIC group. Given your extensive experience in construction, I believe that the implementation of the project will be carried out efficiently and in a short time,” Tokayev noted.

Kassym-Jomart Tokayev and Ma Yongsheng, chair of Sinopec Group. Photo credit: Akorda.

During the talks, the sides discussed prospects for cooperation in investment and the agro-industrial complex.

“Kazakhstan and CITIC Group implement two projects. They are the development of the Karazhambas deposit in the Mangystau Region and a joint venture to produce road bitumen in Aktau. The volume of bitumen production annually reaches 500,000 tons. We have agreed to increase bitumen production by 50% to 750,000 tons,” said KMG Chairman Magzum Mirzagaliyev.

During the meeting with Ma Yongsheng, chairman of Sinopec Group, the largest oil and petrochemical products supplier and the second largest oil and gas producer in China, the sides addressed the prospects for cooperation and implementing joint investment projects in the petrochemical and energy sectors.

According to Tokayev, Sinopec became a full partner in the polyethylene production project worth $7.7 billion, Kazakhstan’s first large-scale and world-class petrochemical project.

“We highly appreciate the company’s contribution to the development of bilateral relations between Kazakhstan and China, as well as the oil and gas industry of our country. We are interested in cooperation with your company. We consider your company a strategic partner of Kazakhstan,” said the President.

Ma informed Tokayev about the company’s intention to begin constructing the plant in the second half of 2024. He also shared plans to implement another strategic project – building a complex to produce terephthalic acid and polyethylene terephthalate at the Atyrau oil refinery.

“We want to contribute to the development of this project. We attach great importance and significance to this project,” said Ma.

The parties also discussed cooperation in the geological study of subsoil and subsoil use, including using the latest technologies in this industry.

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