Republic Of Korea, 12 November. QazaqGaz’s subsidiary QazaqGaz Processing LLP has signed an EPC contract to build a gas processing plant with a capacity of 5 billion cubic metres a year, using raw gas from the Karachaganak field, with a consortium of Hyundai Engineering and SICIM Kazakhstan LLP, QazaqGaz said.
The contract was signed on 12 November during QazaqGaz board chairman Alibek Zhamauov’s working trip to the Republic of Korea, where he met the project partners. The plant is being built in the West Kazakhstan Region in fulfilment of the Head of State’s instruction. According to QazaqGaz, it will allow Karachaganak raw gas processing to be increased and the domestic market to be supplied with additional volumes of marketable gas, liquefied petroleum gas (LPG) and sulphur.
The contract follows a series of earlier arrangements. In April 2026 the Energy Ministry appointed QazaqGaz operator of the project, and on 15 September the company signed an implementation agreement with Hyundai Engineering and SICIM. The consortium, Interfax reported, received a letter of award from QazaqGaz in early July 2026.
What it means: The project has moved from a letter of award and an implementation agreement to a signed EPC contract: the contractor is responsible for design, procurement and construction. The contract’s value and timetable are not given in QazaqGaz’s statement.
Who benefits: According to QazaqGaz, the domestic gas market and the region: the project is meant to increase volumes of marketable gas, LPG and sulphur and to “strengthen the country’s energy security and the region’s economic potential”. The contractors are Korea’s Hyundai Engineering and the Kazakh subsidiary of Italy’s SICIM.
Background: The governor of the West Kazakhstan Region earlier told the President that the plant would cost KZT 1.7 trillion, and the Energy Ministry spoke of a launch by 2030.
