Kazakh Ministry ceases term of contracts of two companies
Azerbaijan, Baku, July 31 / Trend S. Suleymanov /
The Kazakh Ministry of Oil and Gas prematurely terminated the contracts for subsoil use of Tolkynneftegaz and Kazpolmunay, a statement said.
According to the report, July 21, 2010 the Kazakh Ministry of Oil and Gas, representing the interests of the state and ensuring compliance with the legislation, contracts and management of mineral resources announced about early termination of contracts with Tolkynneftegaz and Kazpolmunay. The contract territory was transferred to the trust management of the national company - JSC KMG.
JSC KMG is a trustee on the fields and Tolkyn and Borankol in accordance with the law of the Kazakh Republic "Subsoil and Subsoil Use". It acts in the interests of the state. It will ensure the safety of transmission facilities and equipment, stable functioning of enterprises, continuous process control and supplies of raw materials to consumers, preservation of jobs at the facilities and payment of wages to employees, " the report says.
Companies refused from cooperating with the State through the Ministry of Oil and Gas and JSC KMG, blocking access to financial documents and information, the report said.
JSC "NC KMG, which is in accordance with the law of the Republic of Kazakhstan" On Subsoil and Subsoil Use "a trustee on the fields and Tolkyn Borankol, acting in the interests of the state, will ensure the safety of transmission facilities and equipment, stable functioning of enterprises, continuous process control and production supplies of raw materials to consumers, preserve jobs at the facilities and the payment of wages to workers employed in manufacturing, "- the report says.
State bodies make requirements to Tolkynneftegaz and Kazpolmunay, associated with damages amounting to 147 billion tenge ($ 1 - 147 tenge), caused by the State as a consequence of these companies - mining companies with unlicensed activity as a result of the illegal exploitation of oil - and gas pipelines.
According to the report, in connection with illegal entrepreneurship of subsoil, tax audits were initiated. Multiple violations of the order of tax payment were determined.
The main principles of the state in solving the existing problems in the facilities strategically important for Mangistau region are to avoid ceasing of the production and preservation of jobs.
Moreover, taking into account the preparation for the winter heating season, continuous activity of gas companies is vital to Kazatomprom. In this regard, the ministry operates to resolve the issues raised by the negotiations to avoid extreme measures - stop production, the report said.
According to the report, preventing the bankruptcy of enterprises as a result of execution of the court decisions to recover damages caused to the state, as well as numerous violations of contractual obligations, revealed through a comprehensive audit held in July this year, were the basis for early termination of subsoil use contracts.