New oil and gas transportation holding created in Kazakhstan

/IRBIS, May 04, 01/ - According to REUTERS, two oil and gas transportation monopolies, KazTransOil and KazTransGas created united managing holding. Newly created company (Transport Oil Gas CJSC) will fully belong to the government. Transport Oil Gas (TOG) will possess 100% of stakes in both companies. The source in the KazTransGas reported that company will likely be managed by the president's son-in-law, Timur Kulibayev, married on the middle daughter of Mr. Nazarbayev. Previously, Mr. Kulibayev headed KazTransOil NOTC. The public relation department of KazTransOil explained that main activities of the TOG will be marketing in the sphere of oil and gas transportation, pipelines operation, financing and project development activities. Earlier this year, top officials from KazTransOil and KazTransGas appealed to the government with proposal on creation of united company in the oil and gas transporting sector. Companies' representatives reported that this company would be more efficient and capable of lowering pipe-line construction costs. KazTransOil was created in 1997. It currently operates over 6,400 km of oil and 3,140 km of water pipeline systems. Total volume of oil in the company's reserves equals 1.2 mln cubic meters. KazTransOil transports 80% of produced oil in Kazakhstan. KazTransGas was created in February 2000 and has been owned by KazTransOil (100%). It operates three gas pipelines (9,000 km). Main gas route is Soyuz-Novopskovsk. There, on the north-west of Kazakhstan Gasprom transport gas through Kazakh pipelines. Central Asia- Center route transport Turkmenistan gas to Russia and Ukraine.