Kazakh oil company reduces capital expenditure
Baku, Azerbaijan, Apr. 28
By Elena Kosolapova - Trend:
Capital expenditure of Kazakhstan's oil company KazMunaiGas Exploration Production (KMG EP) totaled 28 billion Kazakh tenges ($80 million) in the first quarter of 2016, which is by eight percent less compared to the same period in 2015, said the company Apr. 28.
This was primarily due to a reduction in volumes and costs of production drilling at the company's subsidiary Ozenmunaigas JSC (OMG), including a 15 percent discount obtained from the drilling service contractor, according to KMG EP.
"This was partially offset by an increase in capital expenditure directed towards the construction and modernization of production facilities at the company's subsidiary Embamunaigas JSC (EMG)," said the company.
KMG EP plans to allocate 85 billion tenges ($236 million) to capital expenditure for 2016.
The company's capital expenditure amounted to 98 billion tenges ($443 million) in 2015, which is by 23 percent less than in 2014.
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