Kazakhstan, Astana, Feb. 7 / Trend, D. Mukhtarov /
The conventional resource volume at the "N" block has hit 244 million tons, conventional oil reserves hit 31.5 million tons and conventional gas reserves amount to around 19 billion cubic meters, KazMunaiGas national company said today.
"According to reserve audits conducted by "Gaffney, Cline & Associates", conventional resources at the N block hit 244 million tons, conventional oil reserves - 31.5 million tons and conventional gas reserves - around 19 billion cubic meters," the statement said.
On January 25, 2013, KazMunaiGas JSC national company and Conoco Phillips Petroleum Holdings BV closed a deal on a full acquisition of the N Block B.V. Company.
As a result of this transaction, KazMunaiGas is the owner of 75.5 per cent of the rights for subsoil use in project N and has a 75.5 per cent stake in the N Operating Company.
According to the signed contract for the use of mineral resources under the N project, its participants are KazMunaiGas with a share of 75.5 per cent and MDK (Oil and Gas N Block Kazakhstan) GmbH with 24.5 per cent.
The increase of KazMunaiGas's share in the N project demonstrates systematic action to strengthen the role of the company in offshore exploration projects in the Kazakh sector of the Caspian Sea.
KazMunaiGas is Kazakhstan's national operator for exploration, production, processing and transportation. All the shares of KazMunaiGas are owned by the Sovereign Wealth Fund Samruk-Kazyna.
The N project is implemented in accordance with the Production Sharing Agreement No 2546 dated December 29, 2007, converted on May 29, 2009 into the contract for exploration and production of hydrocarbons in the N section and its supplements. Under the structure of Rakushechnoe-sea, the transition to the stage of evaluation work has been made. The Kazakh Ministry of Oil and Gas has been notified of potential revealing hydrocarbons as a result of exploration work on Nursultan.
The N Operating Company was established for the implementation of the N project whereby KazMunaiGas participates with a 75.5 per cent interest and MDK (Oil & Gas N Block Kazakhstan) GmbH has 24.5 per cent.