Construction Starts on 420-km Ethane and Propane Pipeline Project in Kazakhstan Built by Chinese Company

en.Wedoany.com Reported - On October 22, Kazakhstan's national oil and gas company announced that the Atyrau Region ethane and propane trunk pipeline project, implemented by its subsidiary KMG PetroChem, has officially commenced. The project is being constructed by a consortium led by China Petroleum Pipeline Engineering Co., Ltd., and involves the construction of two dedicated pipelines of approximately 210 km each, with a total length of about 420 km. The designed annual transport capacities are 1.6 million tons for ethane and 1.1 million tons for propane, respectively. The project is scheduled to be put into operation by the end of 2028.

The project adopts a construction plan featuring a shared technical corridor for dual pipelines. The starting point is located at the gas separation complex of the Tengiz oilfield, and the endpoint connects to the special economic zone of the Karabatan National Industrial Petrochemical Technopark, transporting liquid ethane and propane to downstream polyethylene and polypropylene production enterprises, respectively. In response to the transport requirements of the two media, the relevant dedicated technical specifications have been approved.

At present, steel pipes required for the propane pipeline have begun production. The project plans to use seamless carbon steel and alloy steel pipes suitable for low-temperature operating environments. Line block valve stations equipped with automatic shut-off valves will be installed every 5 to 10 km along the route, along with leak detection systems and gas analyzers.

The EPC contract for the project was signed on December 23, 2025. The contracting consortium is led by China Petroleum Pipeline Engineering Co., Ltd., with CITIC Construction Co., Ltd. and local Kazakh company CPPE Kazakhstan participating. The contract covers engineering design, equipment procurement, construction and installation, commissioning, and final delivery. The contractor is also required to give priority to local Kazakh suppliers in equipment and material procurement and subcontracting.

According to the project arrangements, up to 1,300 jobs are expected to be provided during construction, and approximately 170 permanent positions will be established after commissioning. The employment authority of Atyrau Region, KMG PetroChem, and local contracting enterprises have signed a tripartite cooperation memorandum, specifying that local residents will be given priority in project recruitment.