Kazakhstan's $250M power plant deal aims to end Mangystau's blackouts by 2027

Kazakhstan has approved a major investment deal to build a 160 MW combined-cycle power plant in Aktau. The project, valued at around 108 billion tenge ($250 million), aims to tackle the region's long-standing electricity shortages. A partnership between Aktau Energy Company LLP and China Huadian Corporation Ltd will lead the construction effort.

The Mangystau region has faced persistent power shortages for years. Outdated infrastructure, high demand from the oil and gas sector, and limited capacity at the existing 400 MW Aktau plant caused frequent blackouts. In summer 2022, residents endured daily outages lasting up to eight hours.

The new power plant is set to begin operations in June 2027. Under the agreement, the Chinese investor will cover 70% of the costs, while the Kazakh side will fund the remaining 30%. Once completed, the facility will be transferred to Mangystau Atomic Energy Company LLP (MAEK) after the contract period ends. Beyond boosting electricity supply, the project includes provisions for workforce development. Annual grants will allow Kazakh employees to pursue master's degrees in electrical power engineering in China. Over 300 new jobs for local specialists are also expected to be created. Aktau Energy Company had already begun expanding MAEK's existing capacity before this deal. The new plant will further strengthen the region's power grid and reduce reliance on ageing infrastructure.

The 160 MW plant will increase Mangystau's electricity supply and improve reliability for residents and industries. With construction underway and commissioning planned for 2027, the project marks a significant step in addressing the region's energy challenges. The partnership also supports long-term training and employment opportunities for Kazakh workers.