Field development stages
The path of an onshore oil field — from the auction and the exploration and production contract to liquidation and the return of the subsoil area to the state. The subsoil user's work, project documents, expert reviews, environmental and other permits — with the deadlines of state bodies and links to the laws.
- stages
- 6
- stages
- steps, decisions and approvals
- 86
- steps, decisions and approvals
- approvals with a statutory deadline
- 32
- approvals with a statutory deadline
- years — the full cycle in a typical case
- ≈ 37
- years — the full cycle in a typical case
- 01Obtaining the subsoil use rightBonus and contract within 20 working days of the auction
- 02ExplorationExploration period up to 6 years (18 for complex projects)
- 03Appraisal and trial productionWithin the 6-year exploration period
- 04Getting ready to producePreparatory period up to 3 years
- 05ProductionProduction period up to 25 years (45 for large fields)
- 06Liquidation and return of the areaStart within 6 months of the right ending
Gantt chart
Click a row to open the step's description, deadlines and legal basis. A stage can be opened full width.
Approvals and statutory deadlines
Every state review, conclusion, permit and decision in the order of the stages. The deadline is the time the law gives the state body; where the law sets none, the table says so.
The stages in detail
Obtaining the subsoil use right
The area is in the programme, the auction is won, the contract is signed and registered
- By law
- Bonus and contract within 20 working days of the auction
- Typically
- 12 months
- Right and contractWork
Choosing the area and studying the geological data
The investor picks an area from the Programme for managing the state subsoil fund, studies the geological data available on the Unified subsoil use platform and in the funds of the National Geological Service, and weighs the prospects, infrastructure, risks and economics of the project.
- Result
- A decision to bid
- Right and contractApproval
The area in the state subsoil fund programme
An auction is held only for an area in the Programme. The National geology operator draws it up, the Ministry of Industry and Construction approves it and the Ministry of Energy agrees its hydrocarbon part; it is updated at least every six months. An investor does not apply to add an area — state bodies propose the boundaries; for an area already in the Programme the investor can initiate an auction.
- Who
- The National geology operator, the Ministry of Industry and Construction, the Ministry of Energy
- Statutory review time
- 15 working days — to consider proposals on area boundaries at each step of drawing up the Programme
- Right and contractWork
Applying to take part in the auction
The notice is published on the auction operator's electronic platform. A bidder needs a digital signature, an entry fee (100 MCI) and a guarantee deposit securing the signature bonus.
- Time limit for the subsoil user
- 2 months from the notice (10 working days for areas in poorly studied territories)
- Right and contractApproval
The electronic auction
Bids rise by the auction step; the bidder offering the highest signature bonus wins. If the only registered bidder is the one who initiated the auction, the auction is cancelled and the contract is concluded with it at the starting bonus.
- Who
- The Ministry of Energy and the electronic auction operator
- Statutory review time
- up to 2 months after applications close (10 working days for poorly studied territories)
- Result
- The auction results record
- Right and contractApproval
Direct negotiations — instead of an auction
Without an auction only the national hydrocarbon company can obtain an area — one the Programme reserves for direct negotiations; it applies within 3 years of the area's inclusion. For large fields the national company's share is at least 50 %. After the decision it has 20 working days to pay the bonus and sign.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 2 months for the negotiations from the application (can be extended)
- When it applies
- Only for the national hydrocarbon company
- Obligations and reportingWork
Signature bonus and signing the contract
The winner pays the signature bonus and submits the signed contract to the Ministry of Energy. If it misses the deadline it loses the right: within 3 working days the contract is offered to the next highest bidder. The starting bonus is set by the Tax Code (from 2,800 MCI for exploration without approved reserves).
- Time limit for the subsoil user
- 20 working days from the publication of the auction results
- Right and contractWork
Confidentiality and historical costs agreement
An agreement with the Geology Committee gives access to the area's geological data and fixes the reimbursement of the state's costs of studying it. The payment obligation arises on the date of the agreement: up to 10,000 MCI is paid by 10 April of the year after production starts; a larger sum in equal quarterly parts over no more than 10 years.
- Who
- The Geology Committee of the Ministry of Industry and Construction
- Right and contractEvent
The exploration and production contract is signed and registered
The Ministry of Energy registers the contract, which follows the model form; the exploration period, the preparatory period and the production period run from the registration date. On the chart this is month 0.
Exploration
Find a pool: seismic, exploration wells, testing
- By law
- Exploration period up to 6 years (18 for complex projects)
- Typically
- 3.5 years
- Project documentsWork
The exploration project
A firm licensed to prepare project documents writes the project for the whole exploration period: seismic volumes, the number and depth of wells, testing, studies, timing, protection of the subsoil and the environment. Work is done only under a project with a positive expert conclusion.
- Time limit for the subsoil user
- Within 1 year of the contract registration
- EnvironmentApproval
Notice of the planned activity and screening
Hydrocarbon exploration and production are subject to mandatory screening. The notice is checked for completeness (2 working days) and published for comments from state bodies and the public. The screening conclusion decides whether an environmental impact assessment is needed; if it is, the scoping conclusion comes with it.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- 22 working days from the registration of the notice
- Field work and productionWork
Procurement and contractors
Goods, works and services are bought under the subsoil users' procurement rules through the register; Kazakh works and services make up at least 70 % of the annual volume (except complex offshore projects). Seismic, drilling, testing and other contractors need a licence for hydrocarbon works and services.
- EnvironmentApproval
Environmental impact assessment of the exploration
The draft report on possible impacts is published at least 30 calendar days before the public hearings, which are announced at least 20 working days ahead. Comments on the report come within 17 working days and the initiator fixes them within 5; without a signed record of the hearings the conclusion is that the activity is inadmissible.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- 30 working days for the assessment conclusion from the registration of the application
- When it applies
- If the screening makes the assessment mandatory
- Project documentsApproval
Review of the exploration project by the central commission
The central commission, with independent experts, carries out the state review of the basic project documents. Changes and additions to a project are reviewed the same way.
- Who
- The Central Commission for Exploration and Development of Hydrocarbon Fields
- Statutory review time
- 2 months
- Result
- The expert conclusion
- Land and waterApproval
Public easement over the land for exploration
Land is not taken for exploration: the akimat, on the subsoil user's application backed by the contract, sets up a public easement. Work may start only after the owners and land users are paid for the easement and compensated for losses under an agreement.
- Who
- The local executive body (akimat)
- Statutory review time
- No separate deadline is set
- Obligations and reportingApproval
Liquidation security: a bank deposit pledge
Before any operations, for each subsoil area, the liquidation obligations are secured — by a pledge of a bank deposit (a guarantee for contracts signed before the Code and companies at least 50 % owned by the national holding). The documents go to the ministry within 2 working days of the pledge registration.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 7 working days to check the security
- Time limit for the subsoil user
- Before subsoil operations begin
- EnvironmentApproval
Integrated environmental permit
The Code places hydrocarbon exploration and production in category I, and since 1 January 2025 they need an integrated environmental permit based on best available techniques. The environmental monitoring programme and the waste management programme are part of the permit; the environmental review of the design is done within the permit procedure. The permit has no end date but is revised when BAT requirements change.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- The Code sets no single deadline: the procedure has stages (completeness — 5 working days, opinions of state bodies — 25, the draft permit — 10, etc.); run in sequence they come to about 60 working days
- Land and waterApproval
Special water use permit
Needed to take groundwater or surface water (drilling, the camp) and to discharge treated waste water. The basin water inspectorate issues it, usually for 5 years; for 3 years if the groundwater reserves are not approved.
- Who
- The basin water inspectorate
- Statutory review time
- 10 working days
- When it applies
- When water is taken or waste water discharged
- Obligations and reportingWork
Mandatory environmental insurance
Environmentally hazardous activities on the approved list cannot run without mandatory environmental insurance, which must be in force from the start and throughout.
- Time limit for the subsoil user
- Before the activity starts
- Field work and productionWork
2D/3D seismic and interpretation
Field acquisition, processing and interpretation: mapping the traps, estimating the resources and choosing the locations of the exploration wells.
- Obligations and reportingApproval
Annual reports on the contract obligations
The subsoil user reports every year on the work programme, spending, procurement and in-country value. Physical volumes (geophysics, drilling, production) count only when backed by completion certificates, invoices and payment orders; requests for information are answered within 10 working days.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 6 months to analyse the annual report
- Repeats
- Every year
- Construction and safetyWork
Well construction design
A group or individual technical design: the well structure, drilling fluid, blowout preventers, testing. The requirements are in the industrial safety rules for the oil and gas industry; design documents of hazardous facilities undergo an industrial safety review where the law requires it.
- Field work and productionWork
Drilling exploration wells
Drilling under the approved project, with coring, well logging and kick control.
- EnvironmentApproval
Permit to flare gas while testing wells
Flaring raw gas is prohibited except in the cases the Code names. For testing well objects the ministry issues a permit based on the approved project document — for no more than 90 days per object. Applications go through egov.kz / elicense.kz; emergency flaring needs no permit, but the authorities are notified within 10 days.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 8 working days
- Field work and productionWork
Testing the well objects
Perforation, bringing in the flow, pressure transient tests, sampling oil, gas and water. The results show whether there is a pool worth appraising.
- ReservesApproval
Report on exploration results for a poorly studied territory
For areas in poorly studied territories a report on form 1-UVG is filed in the first three years of exploration; it is refused if the work programme of the initial exploration period was not fully carried out.
- Who
- The Geology Committee (the authorised body for subsoil study)
- Statutory review time
- 1 month
- When it applies
- Only areas in poorly studied territories
- ReservesEvent
A discovery
A commercial flow is obtained — the subsoil user decides whether to appraise the discovery. For ordinary projects appraisal happens inside the 6-year exploration period; for complex projects the exploration period of up to 18 years is split into stages: search (9 years), appraisal (6 years) and trial production (3 years).
- Right and contractApproval
Extending the exploration period
The application is filed before the exploration period ends; on extension the blocks outside the new boundaries are removed from the area (the Code sets no fixed share to relinquish). The area can also be reduced voluntarily — that application is also reviewed in 20 working days.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 20 working days
- When it applies
- If exploration is not finished within the main period
Appraisal and trial production
Delineate the pool, prove commercial flow and approve the reserves
- By law
- Within the 6-year exploration period
- Typically
- 2.5 years
- Project documentsWork
Project addendum: appraising the discovery
Appraisal wells, 3D seismic over the discovery and core and fluid studies are added as a change to the exploration project.
- Project documentsApproval
Review of the addendum by the central commission
Changes to the exploration project are reviewed like the project itself.
- Who
- The Central Commission for Exploration and Development of Hydrocarbon Fields
- Statutory review time
- 2 months
- Field work and productionWork
Appraisal wells and studies
Delineating the pool and refining the net pay, porosity, permeability and saturation, the contacts and the oil and gas properties.
- Project documentsWork
The trial production project
The wells, rates, volumes, studies and gas utilisation during trial production, which is run to refine the productivity, the fluid properties and the drive mechanism for the reserves estimate.
- Time limit for the subsoil user
- 3 months from the subsoil user's decision to run trial production
- EnvironmentApproval
Environmental assessment of trial production
Trial production is production with new emission sources, so its environmental assessment starts with a new notice of the planned activity and screening; if needed, a full assessment with public hearings follows.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- 22 working days for the screening conclusion; a full assessment takes up to 30 more working days
- Project documentsApproval
Review of the trial production project
Trial production cannot start without a positive conclusion; the gas flaring permits also rest on the project.
- Who
- The Central Commission for Exploration and Development of Hydrocarbon Fields
- Statutory review time
- 3 months (+ up to 3 months if extended)
- EnvironmentApproval
Integrated permit for trial production
The new facilities — treatment units, the flare, tanks — are added to the integrated environmental permit before trial production starts, together with the environmental monitoring programme.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- The Code sets no single deadline: the procedure has stages (completeness — 5 working days, opinions of state bodies — 25, the draft permit — 10, etc.); run in sequence they come to about 60 working days
- Project documentsApproval
Raw gas processing development programme
Producing gas (associated gas included) requires an approved programme to process or utilise it; a flaring permit cannot outlast the programme. The programme is updated at least every 3 years and reported on annually.
- Who
- The Ministry of Energy (on the working group's recommendation)
- Statutory review time
- No separate deadline is set
- Construction and safetyApproval
Metering and the crude oil accounting system
The facilities on the ministry's list are fitted with meters for crude oil, condensate, raw and marketable gas; the data go to the accounting information system. The ministry agrees the metering scheme.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 30 working days to agree the metering scheme
- EnvironmentApproval
Flaring permit for trial production
Flared volumes must stay within the norms calculated by the approved methodology; the term cannot exceed that of the project document and the gas processing programme.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 2 working days
- Field work and productionWork
Trial production
Production at the project's volumes with well and reservoir studies. For ordinary projects it runs within the exploration period and may continue in the preparatory period (up to 3 years) with all the oil sold on the domestic market; for complex projects it is a separate stage of up to 3 years.
- ReservesWork
The reserves estimation report
From the drilling, testing and trial production data the in-place and recoverable reserves of oil, gas and associated components are estimated under the current classification and methodologies.
- ReservesApproval
State review of the reserves
Until 1 January 2030 hydrocarbon reserves reports are reviewed by the State Commission on Mineral Reserves with independent experts. The approved reserves are the basis of the development project and the move to production.
- Who
- The State Commission on Mineral Reserves (Ministry of Industry and Construction)
- Statutory review time
- The deadline is set by the Commission's regulation (Order No. 171 of 15.05.2024) — check the current version
- ReservesEvent
The reserves on the state balance
The approved reserves of oil, gas and associated components enter the state balance of mineral reserves.
Getting ready to produce
The development project, permits, land, field facilities and the move to the production period
- By law
- Preparatory period up to 3 years
- Typically
- 2 years
- Project documentsWork
The field development project
Written for the whole period of profitable production from the reserves that passed the state review: the development scheme, the well stock and pattern, pressure maintenance, production profiles, the mandatory raw gas processing section, subsoil protection. If actual results depart materially from it, the project is revised.
- EnvironmentApproval
Notice of the development and the assessment scope
Commercial oil production above 500 t a day (gas above 500 thousand m³) requires a full assessment without screening: the notice leads straight to the scoping conclusion. Smaller production goes through screening, as in exploration.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- 22 working days from the registration of the notice
- Land and waterApproval
Heritage survey before the land is allocated
Before land plots are allocated an archaeological survey is carried out at the developer's cost; it ends with a heritage expertise conclusion by a licensed expert under a contract. A copy goes to the akimat within 5 working days; finds lead to excavation or a change of design.
- Who
- A licensed expert under contract; a copy to the akimat
- Statutory review time
- up to 30 calendar days (the exact term is set by the contract)
- EnvironmentWork
Impact report and public hearings
The initiator prepares the impact report, publishes the draft and holds the hearings at its own cost, agreeing the place and time with the akimat. The announcement is in Kazakh and Russian, in at least one newspaper and on one TV or radio channel; written comments are accepted until 3 working days before the hearings.
- Time limit for the subsoil user
- The draft report stays public for at least 30 calendar days; the announcement comes at least 20 working days before the hearings
- Construction and safetyApproval
Design inputs: the planning brief and utility conditions
The architectural planning brief and the technical conditions for utility connections are the inputs to the construction design; they are obtained through elicense.kz / egov.kz.
- Who
- The akimat's architecture and planning body; utility owners
- Statutory review time
- Until 1 July 2026 — 6 working days for technically simple objects; check the deadlines under the rules of the new Construction Code
- Land and waterApproval
Land for the production facilities: a lease for the contract term
For production and the field facilities the subsoil user gets temporary paid land use (a lease) for the whole contract term. It applies to the akimat with a copy of the contract; the land commission prepares its opinion, then the decision is taken and the lease signed.
- Who
- The local executive body (akimat)
- Statutory review time
- up to 15 working days (not counting the land management project)
- Construction and safetyWork
Field facilities design
Gathering and treating oil, gas and water, the pressure maintenance system, pipelines, power supply, roads, the camp. The design documents of a hazardous production facility undergo an industrial safety review and are agreed with the state industrial safety inspector.
- EnvironmentApproval
Environmental impact assessment conclusion
The conclusion that the activity is admissible; its conditions carry into the design and the environmental permit. It has no expiry date, but a material change of the activity needs a new assessment.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- 30 working days from the registration of the application
- Land and waterApproval
Changing the designated use of the land
Needed when the plot's designated use does not allow field facilities. The application with the cadastral number goes to the akimat, which reports the result.
- Who
- The local executive body (akimat)
- Statutory review time
- up to 16 working days outside settlements (up to 8 inside them)
- When it applies
- If the plot's designated use does not fit the facilities
- Project documentsApproval
Review of the development project
A positive conclusion is a condition for moving to the production period: the contract's production volumes and timing follow the approved project.
- Who
- The Central Commission for Exploration and Development of Hydrocarbon Fields
- Statutory review time
- 3 months (+ up to 3 months if extended)
- EnvironmentApproval
Sanitary protection zone: the sanitary conclusion
The design of the field's sanitary protection zone and emission limits undergoes a sanitary review within the construction design review; the conclusion on the zone project is issued by the Sanitary and Epidemiological Control Committee through egov.kz.
- Who
- The Sanitary and Epidemiological Control Committee of the Ministry of Health
- Statutory review time
- 10 working days
- Land and waterApproval
Water use at the field
A special water use permit covers water intake and discharges of treated waste water; injecting formation water produced with the oil to maintain reservoir pressure needs none. Work affecting water bodies and water protection zones is agreed with the basin inspectorate.
- Who
- The basin water inspectorate
- Statutory review time
- 10 working days
- EnvironmentApproval
Integrated permit for the production facilities
The new facilities — oil and gas treatment, water injection, tank farms — start up only with an integrated environmental permit; the main sources of category I facilities run an automated emission monitoring system that reports in real time.
- Who
- Ministry of Ecology and Natural Resources (the environmental authority)
- Statutory review time
- The Code sets no single deadline: the procedure has stages (completeness — 5 working days, opinions of state bodies — 25, the draft permit — 10, etc.); run in sequence they come to about 60 working days
- Construction and safetyApproval
Comprehensive non-departmental design review
Construction designs undergo a comprehensive non-departmental review. For objects of the first and second responsibility levels — most field facilities — it is a state monopoly carried out by the state expert organisation.
- Who
- The state expert organisation
- Statutory review time
- Under the rules in force until 1 July 2026 — 15 to 45 working days by complexity; check the deadlines under the new rules
- Construction and safetyApproval
Industrial safety of the design
The design of a hazardous facility undergoes an industrial safety review by an accredited firm and is agreed with the chief state industrial safety inspector (national for facilities in several regions, regional for one). Changes to the design are agreed again.
- Who
- An accredited expert firm; the state industrial safety inspector (Ministry of Emergency Situations)
- Statutory review time
- No separate deadline is set
- Construction and safetyEvent
Notice of the start of construction
Construction starts after the state architectural and construction control bodies are notified through elicense.kz, with the positive expert conclusion attached. It is a notification, not a permit.
- Construction and safetyApproval
Industrial safety declaration
For hazardous facilities subject to declaration the operator writes the declaration — for facilities being designed and in operation; the authorised body registers it. The facility cannot operate without a registered declaration; after changes affecting safety it is reissued within 3 months.
- Who
- The industrial safety authority (Ministry of Emergency Situations)
- Statutory review time
- No separate deadline is set
- Construction and safetyWork
Building the facilities and drilling producers
Construction runs under the owner's technical supervision and the designer's author supervision. During the preparatory period oil may be produced at trial production volumes and sold on the domestic market.
- Right and contractApproval
Moving to the production period
The production period starts with the registration of an addendum to the exploration and production contract (or a production contract). The conditions: reserves that passed the state review and a development project with a positive conclusion. The production period is up to 25 years, up to 45 for large fields (over 100 Mt of oil or 50 bcm of gas).
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 20 working days to consider the contract change
- Construction and safetyWork
Emergency plan, rescue service, insurance
The emergency response plan is agreed with a professional rescue service (then every year by 1 December); an own or contracted service covers the facility. Before operation starts the owner of a hazardous facility takes out mandatory liability insurance — for no more than 12 months, then renewed.
- Time limit for the subsoil user
- Insurance — before operation starts
- Construction and safetyWork
Acceptance of the facilities into operation
The owner, with the general contractor, technical supervision and author supervision, collects the declaration of conformity and the conclusions on work quality, fire safety and conformity to the design, and signs the acceptance certificate. Then the rights to the new facilities are registered.
- Time limit for the subsoil user
- The contractors hand over the readiness documents within 3 working days of the owner's request
- Field work and productionEvent
Production starts under the development project
The production period is registered, the facilities accepted and the permits obtained — the field moves to commercial production.
Production
Development under the project, monitoring, reporting and contract obligations
- By law
- Production period up to 25 years (45 for large fields)
- Typically
- 25 years
- Obligations and reportingWork
Financial security for closing category I facilities
The operator of a category I facility provides the state with financial security for closing it down: a guarantee, a deposit or property pledge, insurance. The bank deposit share must reach at least 50 % 10 years after commissioning and 100 % after 20 years. The security does not remove the duty to do the closure itself.
- Time limit for the subsoil user
- Within 3 years of commissioning
- Field work and productionWork
Production under the development project
Drilling and bringing wells on, pressure maintenance, well and reservoir surveillance, development control under the Unified Rules; daily and monthly reports on oil, gas and condensate.
- Obligations and reportingWork
Procurement and in-country value
Procurement follows the subsoil users' rules through the register of goods, works and services; Kazakh works and services are at least 70 % a year (except complex offshore projects); in-country value is reported on the approved forms.
- Repeats
- Every year
- Obligations and reportingWork
The subsoil user's taxes and payments
Mineral extraction tax, export rent tax and export duty, excess profit tax, corporate income tax, property tax and the historical costs payment — under the 2026 Tax Code (details in the tax section).
- Repeats
- Monthly, quarterly and yearly
- EnvironmentApproval
Permit for technologically unavoidable flaring
Start-ups, commissioning, repairs — flaring under a permit within the norms; emergency flaring — without a permit, notifying the authorities within 10 days. The raw gas processing programme is updated at least every 3 years and reported on annually.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 2 working days
- Repeats
- As needed
- Construction and safetyWork
Industrial safety in operation
The emergency response plan — every year to the rescue service by 1 December; registration of hazardous facilities and equipment; industrial safety reviews of equipment, buildings and structures; annual renewal of the liability insurance; reissuing the declaration within 3 months of changes.
- Repeats
- Every year
- EnvironmentWork
Environmental monitoring in operation
Monitoring under the programme that is part of the environmental permit; electronic reports to the National environmental data bank; automated emission monitoring on the main sources; waste managed under the programme. Breaches found in monitoring are reported within 3 working days.
- Repeats
- Continuous; reports periodically
- Obligations and reportingWork
Training, R&D and regional development — 1 % each
From the second year of production (the first under the new model contract) the subsoil user funds, every year, the training of Kazakh staff (1 % of last year's production costs), R&D (1 % of production costs — paid into the budget by 31 March of the next year) and the region's socio-economic development (1 % of the contract investments).
- Repeats
- Every year
- Obligations and reportingApproval
Annual contract reports — the ministry's analysis
The ministry checks the report against the work programme, the 1 % obligations, procurement and in-country value; if it finds a breach it sends a notice of breach of the contract terms.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 6 months to analyse the annual report
- Repeats
- Every year
- Project documentsApproval
Author supervision and development analysis
The design firm supervises how the development project is carried out; a development analysis is prepared as often as the Unified Rules require and reviewed by the central commission.
- Who
- The Central Commission for Exploration and Development of Hydrocarbon Fields
- Statutory review time
- 3 months (+ up to 3 months if extended)
- Repeats
- Periodically, under the Unified Rules
- Project documentsApproval
A new development project or an addendum
The project is revised when actual results depart materially from it, reserves grow or the development scheme changes. The new document goes through the central commission like the first one.
- Who
- The Central Commission for Exploration and Development of Hydrocarbon Fields
- Statutory review time
- 3 months (+ up to 3 months if extended)
- When it applies
- When results depart materially from the project or reserves change
- ReservesApproval
Re-estimating the reserves
With new drilling and production data the reserves are re-estimated and the report goes through the state review again; the changes enter the state balance.
- Who
- The State Commission on Mineral Reserves
- Statutory review time
- The deadline is set by the Commission's regulation (Order No. 171 of 15.05.2024) — check the current version
- When it applies
- When reserves grow or change materially
- Right and contractApproval
Extending the production period
The application is filed at least a month before the production period ends (for large fields at least 6 months before the contract expires). If the contract does not match the current model contract, a new production contract on the model form is signed.
- Who
- Ministry of Energy (the competent body)
- Statutory review time
- 2 months
- When it applies
- If production stays profitable beyond the period
- Right and contractEvent
The subsoil use right ends
The right ends when the contract expires, when the subsoil user gives it up or on other grounds of the Code. The liquidation and geological report deadlines run from this date.
Liquidation and return of the area
Abandon the wells and facilities, reclaim the land, return the area to the state
- By law
- Start within 6 months of the right ending
- Typically
- 3 years
- LiquidationWork
The liquidation project
The project to liquidate the consequences of subsoil use — wells, pipelines, tanks, pits, cuttings storage, land reclamation — is usually prepared in advance. The liquidation design of a hazardous facility undergoes an industrial safety review and is agreed with the state inspector.
- Time limit for the subsoil user
- Submitted for review within 2 months of the right ending
- ReservesWork
The final geological report
The report goes to the Geology Committee in three paper copies and electronically — for the national and territorial geological funds and the subsoil user.
- Time limit for the subsoil user
- Within 3 months of the contract ending
- LiquidationEvent
Notice of the start of works — 15 calendar days ahead
A notice with the justification, data on the remaining reserves and waste and the reviewed project goes to the Ministry of Energy. Works must start within 6 months of the right ending; the ministry may extend this if starting is impossible for reasons beyond the user's control.
- Time limit for the subsoil user
- Start the liquidation within 6 months of the right ending
- LiquidationWork
Abandoning the wells and facilities
Well abandonment by a licensed contractor (well suspension and abandonment is a sub-type of the hydrocarbon works licence), removal of equipment and pipelines, closing pits and cuttings storage, removing waste.
- Land and waterWork
Reclaiming the disturbed land
After the removal of equipment the land is restored under the liquidation plan: the stripped and stored topsoil is put back and the plots are made fit for further use.
- LiquidationWork
Notices that the works are finished
The Ministry of Energy and the local executive body are told that the liquidation is complete.
- Time limit for the subsoil user
- The ministry within 15 calendar days, the akimat within 30
- LiquidationApproval
Acceptance by a commission and the liquidation act
The commission inspects the area; the act is signed by the subsoil user, the Ministry of Energy and the environmental, industrial safety, sanitary and geology bodies, and by the land user. Liquidation is complete from the day the act is signed.
- Who
- A Ministry of Energy commission with the environmental, industrial safety, sanitary and geology bodies
- Statutory review time
- 10 working days after inspecting the area
- Land and waterApproval
Returning the land
The land leases and easements end; the reclaimed plots go back to the owner or to the reserve lands.
- Who
- The local executive body (akimat)
- Statutory review time
- No separate deadline is set
- Right and contractEvent
The subsoil area is back with the state
With the liquidation act signed, the obligations for the area are fulfilled: the area returns to the state subsoil fund and the liquidation security is no longer needed.
How to read this map
- The scenario is typical: an onshore oil field and an exploration and production contract won at an auction. The durations of the work are guides from practice; the law sets maximum periods and the deadlines of state bodies, which are shown separately.
- Offshore and complex projects, gas and gas-condensate fields, production-only contracts and areas in poorly studied territories have their own features — the step descriptions mention them, but the chart does not show them.
- Working days exclude weekends and public holidays. A state body's deadline usually runs from the day a complete set of documents is filed; a return for revision starts it again.
Legislation as of September 2026. Reference material, not legal advice: check the current versions of the acts before making decisions.