KAZAKHSTAN INTERNATIONAL OIL AND GAS EXHIBITION AND CONFERENCE (KIOGE) 2004

The 12th annual Kazakhstan International Oil and Gas Exhibition and Conference (KIOGE 2004) will take place in Almaty, October 5-8, 2004. The event, which is expected to draw representatives of more than 400 companies from 35 countries, is a good vehicle for U.S. firms wishing to promote their goods and services in Kazakhstan’s booming energy sector. Companies interested in determining market interest at low cost are invited to participate in the US Commercial Service’s Catalog Show. The US Catalog Show will display catalogs/brochures U.S. companies and actively market these companies at the exhibition.

Kazakhstan’s oil and gas sector: an overview
Kazakhstan's booming oil and gas sector presents many sales opportunities. Kazakhstan has the Caspian Sea region's largest recoverable crude oil reserves, and accounts for approximately two-thirds of the roughly 1.5 million barrels per day (bpd) currently being produced in the region (including regional oil producers Kazakhstan, Azerbaijan, and Turkmenistan). Accordingly, Kazakhstan has Central Asia's largest economy. Kazakhstan's real GDP grew by 9.2% in 2003 and 9.5% in 2002, thanks to a continuous increase in oil exports and Foreign Direct Investment (FDI) inflows Around 80 to 90 per cent of total FDI goes to the oil and gas sector. This includes large oil projects, but also a wide range of other activities supplying the oil and gas sector (including transport, services, infrastructures, equipment, and engineering).

Over the past seven years, oil production in Kazakhstan has more than doubled, to about 950,000 barrels of oil per day in 2003. Output from the country's three major fields, Tengiz, the offshore Kashagan and onshore Karachaganak, is set to grow to 1.6 million bpd by 2010, and to 2.0 million bpd by 2015. Kazakhstan's 2003 oil production was 358.4 million barrels compared with 330 million barrels in 2002. Oil industry sources estimate that Kazakhstan could eventually attract up to $140 billion of foreign investment in its oil infrastructure

Industry experts and the U.S. Commercial Service estimate that the current market for oil and gas field equipment and services will grow to $2.5 billion in 2004, and will continue growing at 15-30% annually over the following three years. There are opportunities for U.S. companies in virtually every subsector associated with oil extraction, processing, and transportation. The best prospects include geological exploration, geophysics, hydrogeology, drilling, research and data management, laboratory studies, oil spill cleanup technologies, and pipeline equipment and services.

Contact information

U.S. Embassy Commercial Service
11th Floor, 97 Zholdasbekov St., Samal-2
Almaty 480099, Kazakhstan
Tel: (7-3272) 50-48-50; 50-49-20; 50-49-08
Fax: (7-3272) 50-49-67; 50-48-74
E-mail: almaty.office.box@mail.doc.gov
azhar.kadrzhanova@mail.doc.gov
Website www.buyusa.gov/kazakhstan
www.export.gov
Contacts: Ms. Azhar Kadrzhanova, Energy Specialist