KazMunayGas Strengthens Kazakhstan’s Industry Through Key Polyethylene Initiative

KazMunayGas Strengthens Kazakhstan’s Industry Through Key Polyethylene Initiative

William Faulkner 16-Sep-2025

KazMunayGas boosts Kazakhstan’s petrochemical industry through local content, international partnerships, engineer training programs, and a new 1.25 million-ton polyethylene plant.

The city of Atyrau recently hosted the forum “Local Value, Joint Growth,” focusing on the advancement of Kazakh content in one of the country’s most ambitious petrochemical projects: the construction of a polyethylene production facility with an annual capacity of 1.25 million tons, according to Trend via KazMunayGas. The forum attracted over 500 representatives from Kazakh companies, officials from the Atyrau Region Akimat, the Ministry of Energy, JSC NC KazMunayGas (KMG), as well as domestic and international investors and industry associations. The event was organized by Sillenos LLP in partnership with a consortium comprising Tecnimont (MAIRE Group) and Sinopec Shanghai Engineering Corporation (SSEC).

During the forum, Askhat Khassenov, Chairman of the Management Board of KMG, emphasized that the development of the petrochemical sector remains a strategic national priority. Speaking on behalf of President Kassym-Jomart Tokayev, Khassenov highlighted, “KazMunayGas is committed to fostering the growth of petrochemicals as a pivotal sector to drive industrialization and promote the transition from raw material exports to value-added processing. Enhancing local content is a core strategic objective, which strengthens the competitiveness of domestic enterprises and contributes to long-term economic development.”

A key outcome of the forum was Sillenos LLP’s decision to join the Association of the International Center for the Development of Oil and Gas Engineering (IMB Center), a step anticipated to enhance collaboration with Kazakh manufacturers. In addition, prominent Kazakh design institutes, including Kazgiproneftetrans, Promstroyproekt, and the Karaganda Promstroyproekt Institute, will participate in designing the polymerization unit and associated off-site infrastructure of the polyethylene plant. This engagement provides domestic engineers with valuable exposure to large-scale, technically complex oil and gas chemical projects, strengthening local expertise and technical capacity.

Furthermore, Italian engineering, procurement, and construction (EPC) contractor Tecnimont, part of the MAIRE Group, announced the launch of a four-year educational program designed to train engineering graduates from Kazakhstani universities. High-performing participants in this program will be offered opportunities to contribute to MAIRE’s international projects, including the new polyethylene facility in Atyrau. This initiative underscores the project’s dual focus on industrial growth and human capital development, ensuring that local talent is prepared to support advanced petrochemical projects in Kazakhstan and globally.

The forum thus represents a significant milestone in Kazakhstan’s journey toward industrial modernization, emphasizing local content development, international collaboration, and skills enhancement. By leveraging partnerships with global EPC players and fostering domestic engineering expertise, KazMunayGas is positioning the country’s petrochemical industry as a key driver of sustainable economic growth and industrial diversification.

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