Statoil enters Kazakh joint venture

Statoil and KazMunayGas have signed a heads of agreement for the Abay block in the Kazakh sector of the Caspian Sea.

Offshore staff

STAVANGER, Norway -- Statoil and KazMunayGas have signed a heads of agreement for the Abay block in the Kazakh sector of the Caspian Sea. The two parties will evaluate hydrocarbon potential in the block, which is 65 km (40 mi) from shore and in a water depth of 8-10 m (26-33 ft).

They also will establish a company to operate the project. The exploration work program will include seismic surveys, data acquisition, and drilling of one exploration well.

The joint operating company will also participate in investment projects that will include training of local personnel. And, Statoil will provide financial and technical assistance to KazMunayGas’ project to build, own, and operate a jackup for drilling in the Caspian Sea.

“We are interested in cooperation with Statoil in attracting and using their experience and technologies in operating international offshore oil and gas projects” said Kairgeldy Kabyldin, chairman of the management board of JSC NC KazMunayGas.

03/30/2011

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