News Roundup

News Roundup - January 16, 2008

By SRI ⋅ January 16, 2008 ⋅

New York Times: Capitalizing on oil’s rise, Kazakhstan expands stake in huge offshore project

A consortium of foreign companies has resolved a dispute over Kazakhstan’s giant Kashagan oil field by agreeing to pay the government a bonus of up to $4.5 billion and to transfer 8.5 percent of the project to the national oil company of Kazakhstan…

Wall Street Journal: Exxon knows when to fold

Exxon Mobil finally blinked in its showdown with Kazakhstan over the Kashagan oil field. Exxon was the last of the deal’s partners to accept the less-advantageous contract terms acceded to by Italy’s Eni — the project’s leader — under Kazakhstan government pressure…

Bloomberg: Inpex shares fall after group cedes Kashagan stake

Inpex Holdings Inc., Japan’s largest oil and gas explorer, fell to the lowest in more than a month on the Tokyo Stock Exchange after the company and partners in the Kashagan oil field agreed to cede a greater stake to Kazakhstan.

Reuters: Deal means smooth development of Kashagan

The giant Kashagan oil field in Kazakhstan can now be developed smoothly with a new management structure that includes stripping Italian oil major Eni of its lead role, Eni’s exploration and production chief said on Tuesday…

CNN Money: Eni to “progressively” jointly run Kashagan with 3 cos

Italy’s Eni SpA (E) will “progressively” jointly run Kashagan with three other oil companies, Chief Executive Paolo Scaroni said Tuesday, as part of a deal ending a spat with the Kazakh government that sees it lose its role as sole operator at the massive oil field…

Wall Street Journal: Eni to cede key role in Kashagan oil field

Energy company Eni SpA of Italy will cede its role as sole operator of the huge Kashagan oil field in the Caspian Sea as part of a deal to end a long-running dispute with Kazakhstan over one of the world’s biggest oil-development projects…

Forbes: ArcelorMittal says 30 deaths final toll from Kazakhstan mine accident

ArcelorMittal said last night the final number of fatalities in the Abaiskaya mine accident in Kazakhstan is 30 people. Chief executive officer Lakshmi Mittal expressed his sincerest condolences to the families and loved ones of the victims and has been travelling this week to Kazakhstan to offer his personal support…

Eurasia Daily Monitor: Akhmetov signals Kazakhstan’s new confidence

Kazakhstan’s armed forces face a new shake up in 2008, designed to facilitate progress toward greater efficiency. Military reform in Kazakhstan has been underway for several years, resulting in structural changes and other, more targeted, reforms linked with manpower, such as “professionalizing” a proportion of its total personnel…

Kazinform: Kazakhstan saw drastic changes in 2007, view

In 2007 Kazakhstan underwent drastic changes, deputy director of the Kazakh Strategic Research Institute under the Kazakh President, candidate of political science Marian Abisheva told Kazinform commenting on the country’s main attainments…

Forbes: KazMunaiGaz long-term IDR ratings affirmed at ‘BBB’ - Fitch

Fitch Ratings said it affirmed Kazakhstan-based oil and gas group National Company KazMunaiGaz’s (NC KMG) long-term foreign and local currency issuer default ratings (IDR) at ‘BBB’ and short-term foreign currency IDR at ‘F3′…

RIA Novosti: Kazakh court orders jail term for leader’s former son-in-law

Rakhat Aliyev, former son-in-law and outspoken critic of the Kazakh president, was found guilty of organizing a criminal group and sentenced to 20 years in prison at a trial ‘in absentia’ held on Tuesday…

Eurasianet: Turkmenistan, Uzbekistan play energy games while Central Asia shivers

The leaders of Turkmenistan and Uzbekistan are trying to extract the maximum benefit from their neighbors’ misery. As the people of Central Asia shiver through the harshest winter in generations, Ashgabat and Tashkent are turning the screws, or shutting off the valves altogether, in a bid to obtain a higher price for their natural gas exports.

Kazinform: Fitch assigns Astana Finance tap issue final ‘BB+’ rating

Fitch Ratings has today assigned Kazakhstan-based JSC Astana Finance’s EUR40m tap issue a final Long-term rating of ‘BB+’…

Rigzone: Tethys Petroleum claims new gas discovery in Kazakhstan

Tethys Petroleum Limited announced a new gas discovery with the results of the Akkulka AKK13 exploration well in Kazakhstan…