13-10-06

Kazakhstan plans to increase its oil output five times to 100 mm tons by 2010 from 20 mm tons, said the country's Minister of Energy and Mineral Resources, B. Izmukhambetov.
The Minister said: "Out of 63 to 65 mm tons extracted only 20 to 25 % is consumed and the rest is used for export." The oil and gas sector witnessed a quantum growth of more than $ 55 mm from Foreign Direct Investment, he said.

Kazakhstan is a centre for world-renowned companies in sectors such as oil and gas, engineering, medicine and minerals. The Minister said the companies participating in the tendering process in the oil sector should be aware of the factors and legal procedures required for operating in the Kazakhstan market.
"A legal presence is necessary to monitor the payment of taxes," he stated.

With several hundred joint ventures, the country intends to participate in a big way in the petrochemical sector, Izmukhambetov said. Interested participants will be exempted from tax payment and complete stability of operations shall be ensured. Other areas of participation are use of Mineral resources, services, transport and construction, the Minister said.
"Every year several blocks are put under the hammer for oil and gas resources, and several countries participate in the tendering process."

Issues like experience of the industry in the preferred area and the advancement of its technology play a critical role in participation, Izmukhambetov said. To enter the Kazakhstan market with ease, links with local companies is a must in order to understand the local market.
The possibilities of collaboration between India and Kazakhstan are agricultural sector, fossil fuel reserves, other mineral reserves, industrial sector and engineering companies, said Group resident Director, Tata Services, M.A. Pathan.

The prowess of India's IT and IT-enabled services, biotechnology, pharmaceuticals, and various other segments is being recognized the world over and could be utilized for helping diversify the Kazakh economy, he said.
The CII's Partnership Summit scheduled from January 17 to 19, 2007, in Bangalore will be a good opportunity to interact with its members, Pathan said. The summit attracts participation from governments and institutional partners all over the world with 400 International delegates and about 800 Indian business persons last year.