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Astana hosts meeting of Kazakhstani, Saudi Energy Ministers

by June 11, 2017 Key Issues

June 10, 2017, in Astana, Minister of Energy of the Republic of Kazakhstan Kanat Bozumbayev met with Minister of Energy, Industry and Mineral Resources of the Kingdom of Saudi Arabia Khalid Abdulaziz Al-Falih.

The ministerial meeting was held within the framework of the agreements reached between the Heads of State of Kazakhstan and Saudi Arabia on October 24-25, 2016 in Riyadh.

Within the framework of the meeting, a bilateral memorandum of cooperation was signed between LLP United Chemical Company (operator of the state program for accelerated industrial and innovative development in the chemical industry) and SABIC (Saudi Basic Industries Corporation), a public joint-stock company from Saudi Arabia specializing in chemical and metallurgical industry, one of the five largest petrochemical companies in the world.

This document is fundamental in studying the feasibility of implementing projects for the production of polyethylene, polypropylene and methanol in Kazakhstan. The Memorandum was signed by Zhenis Osserbay, Chairman of the Board of United Chemical Company LLP and Yousef Al-Benyan, CEO of SABIC.

As Minister of Energy of the Republic of Kazakhstan Kanat Bozumbayev noted during the meeting: The signing of this memorandum is a good example of strengthening cooperation in the oil and gas sector. There is a certainty that the experience of SABIC will help prepare an optimally effective model for implementing oil and gas chemical projects in view of world trends.

These projects are planned to be implemented on the territory of the petrochemical zone in Atyrau region, which provides for a special legal regime, which presupposes tax, customs and other benefits.

Source: Government of the Republic of Kazakhstan