Largest Chinese Energy Company to Implement Projects in Kazakhstan
With the support of JSC "NC "KAZAKH INVEST," within the framework of the meeting of the Kazakh-Chinese Business Council, MAEK LLP and the Chinese company China Huadian Corporation Ltd., represented by Huadian Kazakhstan Energy, signed a Founding Agreement for the creation of a Joint Venture, which will consolidate the intentions of the parties regarding the construction of a new combined-cycle gas plant for the production of electricity in Aktau.
As part of this project's financing, the Chinese State Bank is ready to provide financing for up to 15-25 years at a rate below 5%. The repayment of borrowed funds will be made through the tariff.
At the Business Council site, a meeting was held with First Deputy Prime Minister of the Republic of Kazakhstan Roman Sklyar, during which the current status of the project and further cooperation in the implementation of promising investment projects in the energy sector with an increase in the share of maneuverable capacities, in particular, a new approach to coal maneuvering, were discussed.
At the same time, within the event's framework, China Huadian Overseas Investment Co., Ltd also signed a Memorandum of Cooperation with JSC "NMH Baiterek." Implementing the agreements will be an important step towards expanding fruitful cooperation between the two countries.
Earlier in 2023, during the visit of Head of State Kassym-Jomart Tokayev to China, a Framework agreement on investment cooperation was signed between the Ministry of Energy of the Republic of Kazakhstan, JSC Qazaqstan Investment Corporation, and China Huadian Overseas Investment for the implementation of investment projects in the energy sector.
China Huadian Overseas Investment is a subsidiary of the state China Huadian Corporation. The corporation's main activity is producing and supplying electric and thermal energy. The corporation is the leader of the People's Republic of China in gas power generation. By the end of 2023, the total assets of China Huadian Corporation amounted to $140 billion.
As part of the obligations of the previously signed Framework Agreement, China Huadian Corporation is currently implementing a project to build a combined-cycle gas plant in the Mangystau region with the possibility of integrating renewable energy sources. Implementing the $190 million project will serve as the primary power supply source at the local level and assist in regulating peak load.
At present, China Huadian Corporation has power plants with a total controlled installed capacity of more than 203 GW. More than 48.7% of the electricity generated comes from power units powered by renewable energy sources such as hydroelectric power plants, wind farms, and SES.
