Kazakhstan plans to launch a 160 MW combined-cycle gas turbine power plant in the Mangystau region

The private equity fund of Qazaqstan Investment Corporation JSC (subsidiary of Baiterek NMH JSC) - Kokzhiyek Fund LP managed by Qazaqstan Investment Capital Management Ltd. private company has entered into an agreement to join the joint venture in the electric power sector - Aktau Energy Company LLP (the Agreement).

The Agreement was also signed by Huadian Kazakhstan Energy Ltd. private company and Mangistau Atomic Energy Plant LLP as part of the “Construction of a 160 MW combined cycle power plant in Mangistau region” project.

This cooperation marked the start of the implementation of a large-scale energy project in Kazakhstan aimed at developing a low-carbon economy and accelerating the transition to clean electricity.

The new power plant will be built on the basis of a combined cycle gas turbine plant, which is highly environmentally friendly, energy efficient, and features modern technological solutions.

The use of combined cycle technologies will significantly reduce emissions into the atmosphere and increase the efficiency of electricity generation.

The project is being implemented by Aktau Energy Company LLP in order to compensate for the power shortage at the thermal power plant (TPP) of Mangistau Atomic Energy Plant, ensure stable power supply to the region, and improve the reliability of the western power system. 

The financing will be used for construction and installation work and the purchase of equipment through an equity financing instrument. The fund's investment will amount to over USD13 million, and the estimated cost of the project is over USD 210 million.

The facility is scheduled to be commissioned for the second half of 2027.

The project will create at least 240 jobs during the construction phase and 69 jobs during the operational phase, which will have a direct positive impact on the social and economic development of the region.

The private company Huadian Kazakhstan Energy Ltd. will act as a technology partner in the construction of a combined cycle power plant, which involves the introduction of advanced technologies used in China and the transfer of experience and knowledge to the domestic energy industry.

The project is being implemented under the Framework Agreement concluded between the Ministry of Energy of the Republic of Kazakhstan and China Huadian Corporation Ltd.  dated October 17, 2023, and the Investment Agreement concluded between the Ministry of Energy of the Republic of Kazakhstan and Aktau Energy Company LLP, the project company, No. 40 dated August 14, 2024.

For reference:

Qazaqstan Investment Corporation JSC is a fund of private equity funds established in 2007. Its main mission is to promote sustainable economic growth in Kazakhstan by raising private equity and supporting projects that contribute to the modernization and competitiveness of key industries. It is a subsidiary of Baiterek NMH JSC. Additional information can be found at https://qic.kz/.

Qazaqstan Investment Capital Management Ltd. private company is a subsidiary of Qazaqstan Investment Corporation JSC, a private equity fund management company established in 2025 that finances large, capital-intensive projects of small and medium-sized businesses.

China Huadian Corporation Ltd. (CHD) is a Chinese state-owned corporation and one of China's five national power producers. It acts as a strategic investor with a 51%–100% stake in projects. Due to its high rating (A2, A, and A-) and reputation, it attracts financing on the best terms on the market and implements optimal solutions to reduce project costs.

Mangistau Atomic Energy Plant LLP was established on July 1, 1968. The company's mission is to supply the region's industry and population with electricity, heat energy, and water for various purposes (drinking, hot, technical, distilled). The plant consists of three power stations (Thermal Power Plant-1, Thermal Power Plant-2, and Thermal Power Station).