Summary on the North Caspian Project
The North Caspian Sea Production Sharing Agreement (NCS PSA) was signed by the Republic of Kazakhstan and international consortium in November 1997. In 1998 started exploration of hydrocarbons within the 5,600 square kilometer of the NCS PSA area.
Within the NCS PSA there were the following discoveries: the giant Kashagan field – discovered in 2000, Kalamkas – in 2002, Aktote – in 2003, Kairan – in 2003 and Kashagan South West – in 2003.
North Caspian Operating Company (NCOC) acts on behalf of a Consortium of seven energy companies with the following shares in the project:
JSC NC KazMunayGaz (KMG Kashagan B.V.) -16,88%;
ENI S.p.A. (Agip Caspian Sea B.V.) – 16,81%;
Exxon Mobil Corporation (ExxonMobil Kazakhstan Inc.) - 16,81%;
Royal Dutch Shell plc.(Shell Kazakhstan Development B.V.) - 16,81%;
Total S.A. (Total E&P Kazakhstan) - 16,81%;
CNPC (CNPC Kazakhstan B.V.) - 8,33%;
INPEX Corporation (INPEX North Caspian Sea) - 7,56%.
The Kashagan Field is located in the northern part of the Caspian Sea, in the Republic of Kazakhstan, and extends over a surface area of approximately 75 km x 45 km. It is estimated that Kashagan contains approximately 4.5 billion tones.
The development of the giant Kashagan field, in the harsh offshore environment of the northern part of the Caspian Sea, represents a unique combination of technical and supply chain complexity. The combined safety, engineering, logistical and environmental challenges make this – Kazakhstan’s first large-scale offshore oil project - one of the biggest and most complex industrial projects currently being developed anywhere in the world.
Given its size and technical complexity, the Kashagan field will be developed in phases. Phase 1, known as the Experimental Programme (EP) is currently ongoing. Future Phases are currently in the concept review stage.
Functions of the Authority on behalf of the Ministry of oil and gas of the RK shall be carried out by PSA LLP (www.psa.kz).