Thursday, July 26, 2012 -
A new oil refinery will be constructed in North Kazakhstan and will be financed by investment firms from Kazakhstan, Korea, and Slovenia, the governor of the northern region said on Thursday.
Investors will contribute $2 billion in total to the project. The refinery is expected to process 5 million tons of oil in its first year, and will gradually increase its processing capacity to 10 million tons.
The project is part of a greater government program to increase the country’s refining capacity.
Refineries may be constructed in two other Kazakh cities and financed by investment firms from Slovenia and Korea in the future.
Kazakhstan’s economy, the strongest in Central Asia, is heavily dependent on hydrocarbons. The country’s leadership is trying to bring in more foreign direct investment (FDI) and encouraging investment in non-fuel sectors of the economy.