Government of Kazakhstan worries about Aktobemunaigas

/IRBIS, Jan.31, 00/ - REUTERS informs the prime-minister of Kazakhstan Kasymjomart Tokaev expressed his concern about JSC Aktobemunaigas (AMG) to deputy prime State council of China U. Bango at the meeting in Davos. He asked the managing company to improve the management or social tensions can not be avoided in the country. Current situation at AMG is actively discussed by Kazakhstani mass media, which criticizes CNPC for about 2,000 laid off workers. Chinese counterparts explain the situation with economic necessities and oil sales problems, and say that investments are still made and oil production is to be increased this year. Head of Mangistaumunaigas Wan Chzhuntsai informed earlier that investments decreased due to production inefficiencies, and they would increase in next two years for a total of $585 mln. AMG went under the management of CNPC in September 1997. Total amount of investments is $9.5 bln, of which $1.1 was allocated to oil deposit site in Aktobe region in the West Kazakhstan, which is developed by AMG. The rest of the amount is to be used for the development of Uzen' oil deposit site and construction of 3,000 km pipeline to Western China. This pipeline was discussed by Tokaev and U. Bango. "Kazakhstan expects fast completion of the project's business plan from the Chinese", said the prime-minister. U. Bango believes the pipeline will be justified if 20 mln tons of oil will flow through it. Annual production of oil in Kazakhstan can reach 27-30 mln tons. CNPC can produce 2.7 and 2.3 mln tons of oil from Mangistau and Aktobe regions, respectively.