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Tuesday, 02 December, 2008, 23:30 GMT | more >>

KazMunaiGas holds back on tax plans


News wires

London-listed Kazakh oil producer KazMunaiGas Exploration & Production (KMG) said today it would delay at least one planned acquisition this year due to expected tax reform.

Kazakhstan plans to revise its tax system to increase revenues from oil, mining and metals sectors, but the government has not said what the new rates would be, wrote Reuters.

"In view of the current fiscal uncertainty KMG deems it prudent to adjust some plans for 2008 acquisitions," the company said in a statement.

"In particular the acquisition of 33% in PetroKazakhstan, originally planned for first half 2008, will now be considered for completion in the second half 2008."

China's CNPC has a controlling stake in oil producer PetroKazakhstan while Kazakh state company KazMunaiGas owns 33%.

KMG, controlled by KazMunaiGas, was planning to buy the stake from its parent.

KMG also confirmed its 2008 oil output target of 9.5 million tonnes at its own fields and 2.45 million tonnes from affiliated companies.


Monday, 23 June, 2008, 09:20 GMT  | last updated: Monday, 23 June, 2008, 09:22 GMT

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