News 2015
KPO ANNOUNCES SENIOR MANAGEMENT CHANGES
Karachaganak Petroleum Operating B.V. (KPO) announced on April 01, 2015 two senior management appointments. Renato Maroli takes over from Damiano Ratti as the new KPO General Director, whilst Andrew Wiper steps in as the new Operations Director and Deputy General Director.
KMG EP
KazMunaiGas Exploration Production JSC announces that addendums have been signed to extend contracts between the Kazakh Ministry of Energy and KMG EP subsidiaries.
Custom duty
Kazakhstan decreased its export custom duty (ECD) for crude oil from $80 to $60 per ton. The relevant statement of the government was published on March 19 in the official mass media and shall be valid from the publication date. Until recent time, the crude oil ECT was $80 per ton (it was increased from $60 in March 2014).
Kashagan
A single operator company will be established in the Atyrau region for the North Caspian project of Kashagan offshore field development; the company will be named North Caspian Joint Venture (NCJV), as a Kazinform’s correspondent was informed by Zhakip Marabayev, the Deputy Managing Director of NCOC.
LUKOIL
LUKOIL started arbitration proceedings in London against Chinese Sinopec about causing significant damage, as the Russian company informed. Sinopec refused to make transaction on purchase of 50% of Caspian Investment Resources Ltd., which has stakes in four projects for hydrocarbons production in Kazakhstan.
KazTransGas
According to the press service of the company, Serik Yestai is appointed as the first Deputy Director General of KazTransGas JSC. He previously held the position of the Chairman of the Board of Intergas Central Asia JSC. In addition, Yerken Kasseyev is appointed as the Chairman of the Board of Intergas Central Asia JSC, he was previously in a post as the Deputy Director General of KazTransGas JSC.
Oil production
Kazakhstan's government said it expects oil production to increase by as much as 30 percent in part because of operations at its giant Kashagan field. Kashagan is among the largest oil fields in the world, with an estimated 16 billion barrels of oil reserves. Production was halted in October 2013, less than a month after it started, when a pipeline associated with the field cracked open.
Oil production
January oil production totaled 5.75 million tons, which is 2.4% less than over the corresponding month of 2014, the monthly report of the Committee on Statistics of the Ministry of National Economy reported. According to the committee, gas condensate production totaled 1.12 million tons (+ 4.1%), natural gas – 4.08 billion cubic meters (+ 10.2%), coal – 9.17 million tons (-5.3%), KazTAG reports.
TCO
Chevron-led venture Tengizchevroil (TCO), Kazakhstan’s largest oil producer, is expected to boost output by 42 percent to 38 million tons by 2021, Kazakh Energy Minister Vladimir Shkolnik said. TCO, which is developing the giant onshore Tengiz oilfield in western Kazakhstan, had output of 26.7 million tons last year, down from a record 27.1 million in 2013.
Saipem
Embattled Italian oil services group Saipem is in pole position to win a contract worth up to $2 billion to replace pipes at the Kashagan oilfield in Kazakhstan. Saipem has had 10 billion euros ($11.31 billion) wiped from its value over the past two years, hit by two profit warnings, a corruption investigation in Algeria and a grim industry outlook, but the new Kashagan tender could provide a timely boost before it announces 2015 targets next month.
N Block
In December 2014, within the N Project in the Kazakhstan sector of the Caspian Sea the first appraisal well drilling has been started. The Trend reported this in the press service of Kazakh National Company KazMunaiGaz. “In December 2014, under the N Project the first appraisal well drilling is started on the structure of ‘Rakushechnoye-offshore’ 1,600 metres deep,” – the press service noted.
KMG EP
On January 13, as per resolution of the Board of Directors of Embamunaigas, Kurmangazy Iskaziyev has been appointed as the company’s CEO, previously he held the position of Managing Director for Geology, the chief geologist of KazMunayGas JSC. Powers of the CEO Makhambet Dosmukhambetov were early terminated due to his transfer to another appointment.
Gasoline
The Ministry of Energy decreased the price of AI-92 to T109 per 1 litre, informs the press service of the Ministry of Energy. “On December 30, 2014 year the order No. 229 was approved by the Ministry of National Economy on amending the Decree of the Minister of energy of the Republic of Kazakhstan as of December 10, 2014 no. 193 "On fixing the limit prices for retail sales of petroleum products, which set the state regulation of prices," - stipulates the statement of the Department.
Restriction
On January 1, 2015, Kazakhstan prohibited the petroleum product export for a period of 6 months, informs the press service of the Ministry of Energy of the Republic of Kazakhstan. "By the order of the Ministry of Energy of the Republic of Kazakhstan, agreed by Ministry of National Economy and Ministry of Finance of the Republic of Kazakhstan, the export shall be prohibited from the territory of the Republic of Kazakhstan for 6-month period and it concerns the areas "outside the customs territory of the Customs Union”.
KMG EP
On January 5, KazMunaiGas Exploration Production JSC announced that the Company’s independent directors received the notification from the National Company KazMunaiGas JSC with information that the NC KMG revokes its proposal regarding possible acquisition of the ordinary shares of KMG EP (being in free circulation), which cost $18,50 per GDR.
Kozhan
Referring to a Chinese source, Reuters News Agency reported on the possible sale of the Kazakhstan oil producing company Kozhan to Chinese Geo-Jade Petroleum Corp. for $ 400 million. Kozhan JSC owns the rights for development of Morskoye, Karatal, Dauletaly fields in Atyrau Oblast.