Tengizchevroil to supply 240,000 tonnes of LPG to Kazakhstan's domestic market in 2025 - ministry

ASTANA. Feb 14 (Interfax) - Kazakhstan's Energy Ministry and JV Tengizchevroil LLP (TCO) have signed an agreement extending the annual memorandum of understanding to ensure stable supplies of liquefied petroleum gas to the country's domestic market, the ministry's press service said in a Friday press release.

"The document was signed following negotiations between the ministry and the company. According to the agreement, TCO will supply 240,000 tonnes of liquefied petroleum gas to the country's domestic market in 2025," the press release says.

"This agreement is an important step towards meeting domestic demand for liquefied petroleum gas," Deputy Minister of Energy Alibek Zhamauov is quoted as saying.

"Guaranteed LPG supplies from TCO as a producer of liquefied petroleum gas in Kazakhstan will reduce the gas market deficit and create favorable conditions for consumers of this product," Zhamauov said.

TCO General Director Kevin Lyon said that TCO remained one of the key suppliers of commercial gas to the domestic market.

Tengizchevroil is the operator of the Tengiz oil field, one of Kazakhstan's biggest, with reserves of 3.1 billion tonnes of oil.

The joint venture is currently owned by American ChevronTexaco Overseas (50%), ExxonMobil Kazakhstan Ventures Inc. (25%), Kazakhstan through the national company KazMunayGas (20%) and Russia's Lukoil .