The Ministry of Energy of the Republic of Kazakhstan signed an Investment Agreement for the construction of a combined cycle gas turbine plant in Aktau with the participation of Qazaqstan Investment Corporation JSC

On March 19, 2026, the Ministry of Energy of the Republic of Kazakhstan and the private company Huadian Kazakhstan Energy Ltd. signed an Investment Agreement within the framework of the project “Construction of a 160 MW Combined Cycle Gas Turbine Plant in Aktau.”

The project is being implemented by Aktau Energy Company LLP with the participation of Qazaqstan Investment Corporation JSC (a subsidiary of Baiterek National Investment Holding JSC) through the private equity fund Kokzhiyek Fund LP, managed by Qazaqstan Investment Capital Management Ltd.

The Fund’s participation aligns with the state policy of the Republic of Kazakhstan aimed at developing mechanisms to attract private investment into infrastructure and energy projects, and also contributes to strengthening the country’s investment climate.

The project is intended to address the capacity deficit of the CHPP of Mangystau Atomic Energy Combine LLP, ensure reliable electricity supply to the region, and enhance the reliability of the western power system.

Huadian Kazakhstan Energy Ltd. will act as the technological partner in the construction of the combined cycle power plant, providing for the introduction of advanced technologies used in China, as well as the transfer of expertise and competencies to Kazakhstan’s energy sector.

The signing of the Agreement marks another important milestone in the development of China Huadian’s operations in Kazakhstan and reflects the consistent policy of the Government of the Republic of Kazakhstan aimed at attracting foreign investment.

Following multi-stage negotiations and interagency coordination involving the Ministry of Energy of the Republic of Kazakhstan, the Ministry of National Economy, the Ministry of Labor and Social Protection of the Population, and the Ministry of Industry and Construction, the Investment Agreement was approved by the Prime Minister of the Republic of Kazakhstan in March of this year and subsequently signed on March 19, 2026, by the Minister of Energy of the Republic of Kazakhstan, Yerlan Akkenzhenov.

The entry into force of the Agreement grants Aktau Energy Company LLP the right to benefit from a range of tax and customs preferences for a period of 5 to 10 years, including exemptions from customs duties, import VAT, corporate income tax, land tax, and property tax, as well as other forms of state support.

The implementation of the Agreement is of significant practical importance for the Republic of Kazakhstan, contributing to the development of energy infrastructure, attraction of investments, and introduction of modern technologies, while also reflecting the active role of development institutions in advancing strategic initiatives in the energy sector. 

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 NIH 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.

Aktau Energy Company LLP is a joint venture established in 2024 specifically for the implementation of the project “Construction of a 160 MW Combined Cycle Gas Turbine Plant in the city of Aktau.” The shareholders include the private company Huadian Kazakhstan Energy with a 70% equity stake, Kokzhiyek Fund L.P., a private equity fund, with a 20% stake, and Mangystau Atomic Energy Combine LLP with a 10% stake.

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.