KMG EP BoD results on dividends

PRESS RELEASE

KMG EP Board of Directors recommended a 2014 dividend

Astana, April 8, 2015. JSC KazMunaiGas Exploration Production ("KMG EP" or the "Company") held Board of Directors ("the Board") meeting.

Based on 2014 results the Board of Directors has recommended a dividend per ordinary and preferred share of KMG EP at 440 Tenge (including taxes withheld in accordance with the legislation of Kazakhstan) to be paid from 2014 earnings. This is equivalent to about 30 bn Tenge (US$162m). This will be voted upon at the Annual General Meeting of Shareholders ("AGM"). As announced earlier, the Board set a date for the AGM for 19 May 2015.

If approved, the payment of the 2014 annual dividend will be made starting from 1 July 2015 to shareholders of record as of 1 June 2015.

The proposed dividend amounts are fixed in US dollars on the date when the Board decision was made.

Independent directors suggested of a larger dividend payment and special dividend. These proposals were deferred by the Board for later consideration.

Notes to editors

KMG EP is among the top three Kazakh oil producers. The overall production in 2014 was 12.3 million tonnes (250 kbopd) of crude oil, including the Company's share in Kazgermunai, CCEL and PKI. The Company's total consolidated volume of proved and probable reserves including shares in the associates, as at the end of 2013 was 200 million tonnes (1.5 bn bbl), out of which 148.8 million tonnes (1.1 bn bbl) relates to Ozenmunaigas, Embamunaigas, and Ural Oil and Gas (Rozhkovskoye field, Fyodorovskiy block). The Company's shares are listed on the Kazakhstan Stock Exchange and the GDRs are listed on The London Stock Exchange. The Company raised over US$2bn in its IPO in September 2006.

For further details please contact us at:

KMG EP. Investor Relations (+7 7172 97 5433)

Asel Kaliyeva

e-mail: [email protected]

KMG EP. Public Relations (+7 7172 97 79 08)

Elena Pak

e-mail: [email protected]

Brunswick Group (+44 207 404 5959)

Andrew Mitchell

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 identified by the use of forward-looking terminology including, but not limited to, the terms ''believes'', ''estimates'', ''anticipates'', ''expects'', ''intends'', ''may'', ''target'', ''will'', or ''should'' or, in each case, their negative or other variations or comparable terminology, or by discussions of strategy, plans, objectives, goals, future events or intentions. These forward-looking statements include all matters that are not historical facts. They include, but are not limited to, statements regarding the Company's intentions, beliefs and statements of current expectations concerning, amongst other things, the Company's results of operations, financial condition, liquidity, prospects, growth, potential acquisitions, strategies and as to the industries in which the Company operates. By their nature, forward-looking statements involve risk and uncertainty because they relate to future events and circumstances that may or may not occur. Forward-looking statements are not guarantees of future performance and the actual results of the Company's operations, financial condition and liquidity and the development of the country and the industries in which the Company operates may differ materially from those described in, or suggested by, the forward-looking statements contained in this document. The Company does not intend, and does not assume any obligation, to update or revise any forward-looking statements or industry information set out in this document, whether as a result of new information, future events or otherwise. The Company does not make any representation, warranty or prediction that the results anticipated by such forward-looking statements will be achieved.