Head of National Company - Deal on KazMunaiGaz purchasing 51 % shares of MANGISTAUMUNAIGAZ to be finished within 2 weeks

/INTERFAX-KAZAKHSTAN, Aktau, July 10, 08/ - National oil and gas company of Kazakhstan KazMunaiGaz intends to finish the deal on purchasing 51 % shares of MANGISTAUMUNAIGAZ during two weeks. It was announced during the operative trip of Prime Minister of the Republic Karim Masimov to Mangistau oblast (Western Kazakhstan) last Saturday. "... the head of government conducted meeting in the office of MANGISTAUMUNAIGAZ, where the Chairman of National Company KazMunaiGaz Serik Burkitbaev said that (...) majority holding (51 %) of the company will be purchased in two nearest weeks" - is said in the disseminated message of Akimat of Mangistau oblast, on which territory MANGISTAUMUNAIGAZ mines 15 oil and gas deposits. According to the message, the Prime Minister noted that negotiations with former shareholders of MANGISTAUMUNAIGAZ finished "positively" as a result the share value was determined. However, the message doesn't specify this value. During the meting, the head of government supported the offer of Krymbek Kusherbaev, Akim of Mangistau oblast, to direct 1 % of annual income to social projects of the region. "K. Masimov said it would be the right decision, in that way the company will support the head of government initiative on social responsibility of business" - is said in the message. On press briefing K. Masimov informed on decision to transfer the headquarters of Exploration Production KazMunaiGaz JSC (oil production "daughter" of KazMunaiGaz from Astana to Aktau (admin. centre of Mangistau oblast). "MANGISTAUMUNAIGAZ is one of the major oil producing companies in Kazakhstan. It was founded in 1995. The company possesses 36 oil and gas deposits, 15 of which are operational. Kalamkas and Zhetybai are the hugest reserves. MANGISTAUMUNAIGAZ JSC also possesses 58 % shares of Pavlodar petroleum chemical plant (Pavlodar oblast, Northern Kazakhstan)". As of October 1, 2007 all common shares of MANGISTAUMUNAIGAZ (99 % from total number of offered shares) were in ownership of Central Asia Petroleum Ltd (Jakarta, Indonesia). Meanwhile, Kazakhstan informal press time and again said that the ex son- in-law of the head of Kazakhstan, Rakhat Aliev now possesses MANGISTAUMUNAIGAZ, who was sentenced in his absence in total for 40 years of imprisonment for the range of grave crimes on criminal cases, instituted last year. R. Aliev for more than a year absconded abroad. Officials and bodies refuse to comment on it. December 5, 2007 KazMunaiGaz and Central Asia Petroleum Ltd. signed protocol on intentions to purchase oil and gas assets of MANGISTAUMUNAIGAZ by the National Company. It is known that KazMunaiGaz and Russian Gazprom Neft OJSC claim on MANGISTAUMUNAIGAZ block of shares, which remain in ownership of Central Asia Petroleum Ltd. KazMunaiGaz - is the national operator on exploration, production, processing and transporting of hydrocarbons, which presents interests of the government in oil and gas industry of Kazakhstan. Kazakhstan holding on managing state assets Samruk JSC owns 100 % shares of the company. [2008-08-11]