Almaty, Kazakhstan – Kazakhstan, a Central Asian nation rich in natural resources, has announced plans to begin shale oil production by the end of the year as a means to revitalize its economy, which has been facing challenges due to fluctuating oil prices and other factors.

Prime Minister Alikhan Smaylов announced the decision at a cabinet meeting on 29th, according to the AFP news agency. President Kassym-Jomart Tokayev had previously stated that the country needed to exploit its shale oil reserves in addition to conventional oil production, given the current state of the economy.

The decision to pursue shale oil production comes as Kazakhstan's economy has shown signs of slowing. While the country's GDP grew by 4.8% last year, inflation remains high at 8.6%, and the Kazakh tenge has continued to depreciate against the U.S. dollar.

Furthermore, Kazakhstan has faced economic repercussions from the ongoing conflict in Ukraine, as it is both an ally and a trading partner of Russia.

In a separate development, Prime Minister Smaylов revealed that Kazakhstan is on the verge of signing a contract for its first nuclear power plant and will soon determine the locations for two additional plants. Although a specific timeline for the contract signing was not provided, the announcement follows a nationwide referendum held in October 2022, in which over 70% of voters expressed support for nuclear energy.

Kazakhstan has invited bids from several countries, including South Korea, China, France, and Russia, to construct its first nuclear power plant.

[ⓒ Global Economic Times. 무단전재-재배포 금지]