KazMunaiGas EP exiting negotiations over Akkas gas field in Iraq

KazMunaiGas Exploration Production has informed the Iraqi Ministry of Oil and Gas and Korea Gas Corporation (KOGAS) that the Company is exiting the negotiations process over Akkas gas field in Iraq, the Company’s press-release reads. KazMunaiGas E&P and Korea Gas Corporation won the right to develop the huge gas field. The oil consortium negotiated with the Iraq’s government, however, the winning companies failed to come to terms with the Iraqi side over some issues arising at the final stage. As a result, KazMunaiGas E&P has given up on its plans. KazMunaiGas Exploration Production was established in March 2004 and is among the top three oil producers in Kazakhstan. Ordinary and preferred shares of KazMunaiGas Exploration Production are listed on the Kazakhstan Stock Exchange, and its global depository receipts (GRDs) are listed on the London Stock Exchange. Through National Company KMG, the state owns 60% of KMG EP’s shares. KazMunaiGas Exploration Production is developing 41 fields in Western Kazakhstan. The Company is the largest taxpayer in Kazakhstan. KazMunaiGas Exploration Production