Karashaganak

Karachaganak oil and gas condensate field (KOGCF) located in the Western-Kazakhstan oblast is one of the largest oil and gas condensate fields in the world and contains more than 1,2 billions of liquid hydrocarbons and more than 1,3 trillions of cubic meters of gas.

The field was discovered in 1979, its development commenced in 1984.

Karachaganak project is implemented within the framework of the Final Production Sharing Agreement (FPSA) concluded between the Government of the Republic of Kazakhstan and alliance of foreign corporations.

British Gas and Agip are both project single operator under FPSA terms.

FPSA:

• Signed on November 18, 1997
• Went into effect on January 27, 1998
• Agreement duration is 40 years

Karachaganak Petroleum Operating B.V. (KPO b.v.) was established by project operators to carry out production and administrative actions at Karachaganak field.

Competent body functions in Northern Caspian and Karachaganak projects exercised earlier by KazMunaiGas JSC NC are currently performed by PSA LLP (www.psa.kz).

PSA limited liability partnership was incorporated in June 2010.

National Company KazMunaiGas JSC is the sole participant of PSA LLP.

In accordance with the trust agreement NC KazMunaiGas JSC transferred 100% of participation share in PSA LLP to the Ministry of Oil and Gas of the Republic of Kazakhstan.

In accordance with Power of Attorney # 20-01-4752 dated 03.07.10, issued by the Ministry of Oil and Gas PSA LLP is authorized:

1) to represent Ministry of Oil and Gas on the issues of protection of the Competent body interests in the Production Sharing Agreement on the Northern Caspian signed on 18.11.97 and Final Production Sharing Agreement of the contracting territory of Karachaganak oil and gas condensate field signed on 18.11.97.
2) to participate in the Management Committees as the Competent body as well as in other management bodies related to the projects.