The Government of Kazakhstan reduces mineral extraction tax rate for Karazhanbasmunai
JSC КаzМunaiGas Exploration Production (“КМG EP” or the “Company”) is pleased to announce that the Kazakh Government has included the Karazhanbas oil and gas field (in the Tupkaragan District, Mangystau Province) in the list of marginal, hydrocarbon, high-viscosity, water-flooded and depleted fields. It has been included in this category retrospectively, from 18 June 2014 onwards. The Kazakh Government has set the mineral extraction tax rate for Karazhanbas at 0.5%. Previously it was 9-10%.
Karazhanbasmunai is developing the Karazhanbas field which is equally owned by KazMunaiGas Exploration Production JSC and CITIC Group. The daily output at Karazhanbasmunai is 19,000 bopd. 2P reserves as at the end of 2013 were 374 million barrels.
