KazTransOil announces signing agreement with Transneft on payment of compensation for substandard oil to 18 Kazakh oil companies

/KASE, November 27, 2019/ – KazTransOil (Nur-Sultan), whose shares are officially listed on the Kazakhstan Stock Exchange (KASE), has provided KASE with the press release dated November 11, 2019, which states as follows: quote As a part of the incident settlement related to contamination in April-May 2019 of about 699 thousand tons of crude oil shipped by 38 Kazakhstani oil companies via the "Druzhba" trunk oil pipeline system, "KazTransOil" JSC, acting on behalf of those companies, signed agreements with “Transneft” JSC to pay compensation for substandard oil to 18 more Kazakhstani oil companies. "Work on signing agreements on compensation to Kazakhstani oil companies continues. On November 7 of this year, we signed agreements in favor of 14 Kazakhstani oil companies. Today we signed similar documents in the interests of 18 companies. Agreements in favor of the remaining 6 companies will be issued as soon as they are ready", said Dimash Dosanov, General Director of “KazTransOil” JSC. To recap, that on April - May 2019, at emergency situation related to presence of high concentrations organochlorine compounds on transported oil in the system of trunk oil pipelines, “Transneft” JSC led the shipment substandard oil for Kazakhstani shippers to tankers in port Ust-Luga. “KazTransOil” JSC as the National Operator of the Republic of Kazakhstan on the main oil pipeline acts on behalf of 38 Kazakhstani oil companies, whose oil was contaminated in the system of Druzhba main oil pipeline, is working on the signing of compensation agreements with “Transneft” JSC. unquote [2019-11-27]