News 2014
April 2014EP KMG
JSC E&P KazMunayGaz abandons the White Bear project, as informed by Mr. Abat Nurseitov, Head of E&P KMG: "We leave this project, because our expectation and calculations were not fulfilled, the drilled well was dry. A company, which proposed this block, has already left the project”.
He added that now E&P KMG is preparing the documents for the upcoming Board of Directors, concerning withdrawal from the project. E&P KMG and BG group signed an agreement on the joint exploration of the White Bear prospective block in the British sector of the North Sea in August 2010.
E&P KMG received 35% share in the BG’s license for this block. It was the first official project between E&P KMG and BG group under the agreement on cooperation in the field of hydrocarbon exploration, concluded in December 2008. Financial risks of E&P KMG’s participation in this project, including the cost of drilling and other obligations as a part of the project and at a stage prior to the hydrocarbon detection, are estimated at approximately $ 25-30 million. Prospective structure of the White Bear on P1722 license territory is located near the BG productive blocks- Everest and Armada. BG keeps the remaining shares and will continue the operational management on behalf of the partners, as News-Kazakhstan IA reports.