Construction project for Kazakhstan’s fourth oil refinery enters practical phase

On the directive of President Kassym-Jomart Tokayev, Kazakhstan has commenced pre-project work for the construction of a new, large-scale oil refining complex designed to handle up to 10 million tons of crude oil annually. The future facility is being planned with the potential to anchor a major new petrochemical cluster. The Ministry of Energy is overseeing inter-agency coordination, while SK Ondeu (a subsidiary of the Samruk-Kazyna Fund) is acting as the project customer. Over the next six months, an international engineering team will conduct comprehensive pre-feasibility studies to establish the plant’s baseline technical and economic parameters.

As part of the pre-feasibility phase, specialists will evaluate the most efficient raw material supply schemes, considering crude oil processing from the major Kashagan and Tengiz fields, as well as utilizing mixed raw materials via existing pipeline infrastructure. Experts will also conduct a thorough site-selection assessment, analyzing transport logistics, railway access, proximity to target sales markets, environmental regulations, and utility network availability.

Energy Minister Yerlan Akkenzhenov noted that the construction of this new complex is a pragmatic and strategically vital step toward securing Kazakhstan’s long-term energy independence, emphasizing that all decisions regarding location and configuration will be driven strictly by economic efficiency and technical data. To ensure a highly sophisticated operation, domestic research centers and specialized universities will be integrated into the project to develop advanced fuel standards, proprietary technologies, and catalysts, as well as to train the future workforce.

The resulting pre-project documentation will guide the Government’s decisions on moving into the detailed design phase, attracting international investors, and breaking ground. This initiative aligns directly with the Concept for the Development of the Oil Refining Industry of the Republic of Kazakhstan for 2025–2040, which targets a phased economic transition toward deep oil refining. Currently, Kazakhstan’s existing refineries have already increased their refining depth up to 90 percent.