5th Dec 2008 10:11
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NEWS RELEASE
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KazMunayGas, KMG EP and BG Group, announce signing of an upstream
co-operation agreement
Almaty, 5 December, 2008. JSC National Company "KazMunayGas" ("NC KMG"), NC KMG subsidiary "KazMunaiGas Exploration Production" ("KMG EP" - LSE: KMG) and BG Group plc (BG Group - LSE: BG.L), today announced an agreement to co-operate in exploring a range of upstream opportunities.
The agreement, which was signed in the presence of the Prime Minister of the Republic of Kazakhstan, Mr. Karim Massimov, sets out the principles of a joint study of the hydrocarbon reserves potential of specific areas in Kazakhstan and other countries. The companies will work in partnership to identify opportunities across a range of potential oil and gas exploration and production projects. A joint team will examine specifically-targeted regions and recommend prospective acreage to partners for their consideration.
NC KMG President Mr. Kairgeldy Kabyldin said: "The upstream co-operation agreement, announced today, will play an important role in accelerating our strategy for international growth. We look forward to expanding our working relationship with BG Group."
KMG EP Chief Executive Officer Mr. Askar Balzhanov said: "KMG EP has a solid experience in exploration and production in Kazakhstan. Cooperation with BG Group will provide us with an opportunity to join large-scale international projects and achieve a new level of development."
BG Group Executive Vice President and Managing Director; Europe and Central Asia, Mark Carne, said: "These agreements build on BG Group's substantial long-term investments in one of the region's most dynamic and attractive economies. We are delighted by the opportunity to co-operate more closely with KMG, in Kazakhstan and beyond."
Notes to Editors
JSC National Company "KazMunayGas" (NC KMG) is a national oil and gas exploration, production, processing and transportation operator representing the Government of Kazakhstan's interests in the country's oil and gas industry. NC "KazMunayGas" is wholly owned by JSC "Sovereign wealth fund "Samruk-Kazyna."
KMG EP is one of top three oil producers in Kazakhstan with over 10.6 mmt (215 kbopd) of crude oil production in 2007 including shares in production of Kazgermunai and CCEL, and 240 mmt (1.8bn bbl) of proved and probable reserves at the end of 2007 (over 2 bn bbl including interests in Kazgermunai and CCEL).The Company's shares are listed on the Kazakh Stock Exchange and the GDRs are listed on the London Stock Exchange. The Company raised over US$2bln as a result of its IPO in September of 2006.
BG Group plc (LSE: BG.L) is a world leader in natural gas, with a strategy focused on connecting competitively-priced resources to specific, high-value markets. Active in 27 countries on five continents, BG Group has a broad portfolio of exploration and production, Liquefied Natural Gas (LNG), transmission and distribution and power generation business interests. It combines a deep understanding of gas markets with a proven track record in finding and commercialising reserves.
For additional information please contact:
NC KMG
Information Policy and Public Relations:
+7 7172 976305
KMG EP
Public Relations:
+7 7172 977600 or +7 7172 977908Mr Mikhail Dorofeyeve-mail: [email protected]
Investor Relations:
+7 7172 97 7971
Ms Asel Kalieva
e-mail: [email protected] Pelham PR
+44 203 178 44 18 Mrs Elena Dobson e-mail: [email protected]
BG Group
Communications:
+44 (0) 118 929 3508/3110
Out of hours UK media mobile:
+44 (0) 791 718 5707
Investor Relations:
+44 (0) 118 929 3025
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.
Related Shares:
Kazmunaigaz ExplorationBG..L