Kazakhstan reduces oil output

Kazakhstan is expected to produce 74 million tons of oil in 2016 according to the country's social and economic development forecast, Kazakh Energy Ministry told Trend.

Meanwhile, the country's oil output is expected at the level of 75 million tons in 2017, 76 million tons - in 2018, according to the forecast.

The results of the implementation of the Kazakh Energy Ministry's Strategic plan for 2015, which was published in February, show that Kazakhstan planned to produce 77 million tons of oil in 2016 with the price of $40 per barrel.

Kazakhstan's oil and condensate output totaled 79.46 million tons in 2015, which is by 1.7 percent less than in 2014.

Foreign analysts also forecast reduction in Kazakhstan's oil output. Thus, according to OPEC's forecasts, oil output in Kazakhstan will decrease to 1.56 million barrels per day in 2016 (compared to 1.6 million barrels per day in 2015). The US Energy Information Administration (EIA) forecasts that Kazakhstan's oil output will decrease to 1.71 million barrels per day (compared to 1.73 million barrels per day in 2015).

There are more than 200 hydrocarbon fields in Kazakhstan that are in various stages of development and have different costs, according to the ministry.

The Energy Ministry also said that due to low oil prices Kazakhstan's oil companies have to optimize costs and to review planned works on drilling, repair and other organizational and technical measures.

Source: Trend