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KazTransOil Plans $327 Million Expansion of Oil Pipelines to China

2 min
KazTransOil Plans $327 Million Expansion of Oil Pipelines to China

This digest was compiled by AI from multiple sources — links to the originals are below.

KazTransOil plans to invest $327 million to expand the Kenkiyak-Atyrau and Kenkiyak-Kumkol oil pipelines, raising their combined capacity to 35 million tons per year. The project, scheduled for 2026-2030, was presented to investors on Sept. 2 at the Kazakhstan Stock Exchange. The expansion strengthens Kazakhstan's eastern export corridor to China.

Key Facts

  • KazTransOil plans to invest $327 million to expand the Kenkiyak-Atyrau and Kenkiyak-Kumkol pipelines, raising their combined capacity to 35 million tons per year.
  • The Kenkiyak-Atyrau pipeline capacity will rise from about 6 million to 15 million tons per year, and the Kenkiyak-Kumkol pipeline from 10 million to 20 million tons.
  • The project is scheduled for 2026-2030 and is expected to be financed mainly through borrowing.
  • Five new oil pumping stations are planned to support the expanded capacity.
  • In August, KazTransOil transported 35,000 tons of oil to the Kyrgyz Republic, the first such transit deliveries through Kazakhstan.

Pipeline Expansion Details

KazTransOil presented the investment plans to investors on Sept. 2 during the virtual Issuer Day at the Kazakhstan Stock Exchange. The Kenkiyak-Atyrau pipeline connects Kenkiyak station in the Aktobe Region with Atyrau and can operate in both directions, serving export logistics and domestic refineries. The Kenkiyak-Kumkol pipeline forms part of the eastern route to the Atasu-Alashankou pipeline and onward to China. The Kenkiyak-Kumkol pipeline has transported more than 100 million tons of oil since it began operations. In May 2023, KazMunayGas and China National Petroleum Corporation agreed to conduct a preliminary study on increasing the capacity of the two pipeline sections.

Regional Transit Role

In August, KazTransOil transported 35,000 tons of oil to the Kyrgyz Republic, marking the first such transit deliveries through Kazakhstan. KazTransOil dispatched the first shipment on Aug. 15. Oil is transported through Kazakhstan's main pipeline system to the Shagyr oil loading facility, where it is transferred into railway tank cars for delivery to the Kyrgyz Republic. KazTransOil previously reported that it transported 45.12 million tons of oil through its main pipeline system in 2025, a seven-year high.

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