27th Apr 2007 07:45
JSC KazMunaiGas Exploration Prod27 April 2007 7% Increase in Proved Reserves of JSC KazMunaiGas Exploration Production in 2006 Astana, 27 April 2007. JSC KazMunaiGas Exploration Production (KMG EP or theCompany) announces updated estimates of its oil reserves as at 31 December 2006. According to data confirmed by an independent reservoir engineers Gaffney, Cline& Associates (GCA), the proved and probable oil reserves of the company as at 31December 2006 were 1,495 million barrels, a similar level as the estimate fromthe previous year. Proved reserves have increased by 7% and stand at 685 millionbarrels as at 31 December 2006. Within the category 'proved reserves' theCompany has replaced 167% of the oil produced in 2006. The main factors underlying the growth of the proven reserves in 2006 are: • Extension of licenses to the expiry dates of the subsoil use contracts; • Adjustment of the expected production profiles reflecting the progress achieved in 2006 on production optimization of the existing fields; and • Updated drilling program to 2011. Estimates of oil reserves of KMG EP have been prepared in accordance withinternational standards of SPE (Society of Petroleum Engineers) and WorldPetroleum Congress (WPC). Reserves of the Company in all categories include 100%reserves of Uzenmunaigas and Embamunaigas production branches. The reserves donot include the recently acquired 50% interest in JV KazGerMunai LLP. The 'proved' reserves include only oil to be produced within time limits of theexisting license agreements. Reserves of JSC KazMunaiGas Exploration Production 31.12.2006 31.12.2005 million barrels million barrelsProved reserves 685 638of which Proved Developed 93.5% 95.0%Proved and Probable 1,495 1,515Proved, Probable and Possible 2,119 2,212 Notes to Editors: JSC KazMunaiGas Exploration Production, headquartered in Astana, is the 3rdlargest Kazakh oil and gas producing company with over 9.5mmt/year (192 kbopd)of crude production in 2006. The Company extracts hydrocarbon resources from 44oil and gas fields located in the Atyrau and Mangistau regions in westernKazakhstan and is also engaged in onshore exploration activities, concentratedin the same areas. The Company's shares are listed on Kazakhstan Stock Exchangeand the GDRs are listed in London. The Company raised approximately US$2bn inits successful IPO in September of 2006. Contact information: KMG EP, Public Relations (+7 3172 977908, +7 3172 977924) Lyazzat Kokkozova e-mail: [email protected] KMG EP, Institutional Investor Relations (+7 3172 975433) Alexander Gladyshev e-mail: [email protected] WMC Communications Ltd (+44 207 930 9030) Elena Dobson e-mail: [email protected] Forward-looking statements This document includes statements that are, or may be deemed to be, ''forward-looking statements''. These forward-looking statements can be identifiedby the use of forward-looking terminology, including, but not limited to, theterms ''believes'', ''estimates'', ''anticipates'', ''expects'', ''intends'', ''may'', ''target'', ''will'', or ''should'' or, in each case, their negative orother variations or comparable terminology, or by discussions of strategy,plans, objectives, goals, future events or intentions. These forward-lookingstatements include all matters that are not historical facts. They include, butare not limited to, statements regarding the Company's intentions, beliefs andstatements of current expectations concerning, amongst other things, theCompany's results of operations, financial condition, liquidity, prospects,growth, potential acquisitions, strategies and as to the industries in which theCompany operates. By their nature, forward-looking statements involve risk anduncertainty because they relate to future events and circumstances that may ormay not occur. Forward-looking statements are not guarantees of futureperformance and the actual results of the Company's operations, financialcondition and liquidity and the development of the country and the industries inwhich the Company operates may differ materially from those described in, orsuggested by, the forward-looking statements contained in this document. TheCompany does not intend, and does not assume any obligation, to update or reviseany forward looking statements or industry information set out in this document,whether as a result of new information, future events or otherwise. The Companydoes not make any representation, warranty or prediction that the resultsanticipated by such forward-looking statements will be achieved. This information is provided by RNS The company news service from the London Stock ExchangeRelated Shares:
Kazmunaigaz Exploration