Kazakhstan's KazMunayGas to hold negotiations on participation in Kalamkas Sea dev't
BAKU, Azerbaijan, Feb. 17
By Nargiz Sadikhova - Trend:
Kazakhstan’s KazMunayGas (KMG) National Company will officially start negotiations on participation in development of Kalamkas-Sea and Khazar oil fields, a representative of KMG told Trend.
On October 21, 2019, North Caspian Operating Company (NCOC) and Shell company have announced abandonment of Kalamkas-Sea and Khazar oil fields development plans respectively. The procedure on return of the subsoil use rights for the Kalamkas-Sea field to the country’s ownership was to start soon.
The official said that currently, NCOC and Search Results (Shell subsidiary) together with contracting companies of the North Caspian Project and the Pearls block are working on returning Khazar, Kalamkas-Sea and Auezov fields to the ownership of Kazakhstan.
“In accordance with the Code of Kazakhstan ‘On Subsoil and Subsoil Use’, KMG may express interest in obtaining subsoil use rights in these areas based on direct negotiations, if they are included in the program for managing the state subsoil fund,” the official said.
The official also noted that according to the same code, an agreement for the hydrocarbons' production in the subsoil areas may be concluded with the national company either independently or together with a strategic partner or consortium of companies.
“The negotiations with state authorities on the issue of the re-participation and obtaining a share of KMG in the project will be officially started following complete return of the fields to the ownership of the Kazakhstan,” the official said.
KazMunayGas National Company is the Kazakhstan operator for exploration, production, refining and transportation of hydrocarbons, representing the state interests in the oil and gas industry of Kazakhstan.
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