Press Releases

04.07.2019

Minutes of direct negotiations on the Abai project signed

A trilateral meeting between the management of the RoK’s Ministry of Energy, JSC NC “KazMunayGas” (KMG) and Eni S.p.A. was held on 4 July 2019 within the framework of the Foreign Investors’ Council.

In the course of the meeting, the minutes of direct negotiations between the Ministry of Energy, KMG and Eni Isatay B.V. (Eni) on granting the right to exploration and production of hydrocarbons within the framework of joint development at the Abai area in the Kazakhstan sector of the Caspian Sea were signed.

The negotiations resulted in the agreement on the payment in the favour of the Kazakh party of the signature bonus (a one-time fixed payment payable by a subsurface user who acquired the right of subsurface use within a contract territory - RoK’s Tax Code) and on the subsurface user’s obligations in regard of the local content.

The next stage of cooperation will be the signing of the Abai area hydrocarbons exploration and production contract.

We recall, In March 2019 KMG and Eni signed the Joint Operating Agreement and a Carry Agreement (Financing Agreement) as part of the joint implementation of the Abai area project.