Kazakhstan hoping to complete talks on stake in Karachaganak Petroleum Operating

Kazakhstan hopes to complete talks on purchasing a stake in Karachaganak Petroleum Operating in the shortest time, Timur Kulibayev, Chairman of the Board at Samruk-Kazyna Sovereign Wealth Fund, Profinance.kz reports. “We are in talks for KazMunaiGas National Oil Company to acquire 10% in the project and we hope to arrive at some agreement within reasonably shortest time”, Mr. Kulibayev told journalists in Almaty today, April 28. With its 1.2 billion tons of oil and condensed gas and 1.35 trillion cubic metres of gas, Karachaganak is one of the largest O&G fileds in the world. Karachagank accounts for 49% of all the gas production and 18% of oil production in Kazkahstan. Karachaganak Petroleum Operating (KPO) is a consortium of companies to develop Karachaganak oilfiled. The consortium includes BG Group, Eni (32.5% each), Chevron (20%) and LUKOIL (15%). KPO operates in accordance with a PSA signed with the Kazakh Government in November 1997. According to the PSA, the consortium shall be operating the project up to 2038. Earlier it was reported that Kazakhstan’s share in the profits from Karachaganak oilfield developed by Karachaganak Petroleum Operating (KPO) stands at 20%, according to Minister of Oil and Gas Sauat Mynbayev.