Zhaikmunai (Kazakhstan) signs agreement for acquiring three oil and gas fields in Kazakhstan

20.08.12 16:18
/KASE, August 20, 12/ - LLP "Zhaikmunai" (Uralsk), whose bonds are officially listed at Kazakhstan Stock Exchange (KASE), today provided KASE with the following communique of August 20, 2012: quote Zhaikmunai LP (LSE: ZKM), the oil and gas exploration and production enterprise with assets in north-western Kazakhstan announces that, on 17 August 2012, Zhaikmunai LLP signed Asset Purchase Agreements to acquire 100% of the subsoil use rights related to three new oil & gas fields in Kazakhstan. Completion of the acquisitions, which is expected to occur later this year, is subject to the approval of the relevant authorities in Kazakhstan, including the Ministry of Oil & Gas and the Anti-Monopoly Agency. Zhaikmunai has agreed to pay the current owners a total of US$ 16 million for the three fields. The fields, Rostoshinskoye, Darjinskoye and Yujno- Gremyachenskoe, are located in the Pre-Caspian basin to the northwest of Uralsk, approximately 90 kilometres from the Chinarovskoye field. The size of the three license areas combined is 139 square kilometres. The company is currently analyzing the optimal appraisal and development programme for the fields and will hold a Capital Markets Day in due course to present the results. Kai-Uwe Kessel, Chief Executive Officer of Zhaikmunai commented: "This is a great moment for Zhaikmunai as we move from a single field asset to a multi-field oil & gas company. Whilst Chinarovskoye remains very much our core focus I am pleased that we have been able to acquire these complementary assets and maintain our prudent approach to cash flow management and a robust capital structure. This acquisition continues the approach we have taken with the Chinarovskoye field of developing previously explored fields. In addition its proximity is likely to result in similar geology to our existing field, which we have enjoyed great success in developing. I am confident that we have found a number of exciting fields to develop over the coming years." unquote [2012-08-20]