Kazakhstan, Astana, Feb.3 /Trend T.Nurmagambetov/
National Welfare Fund of Kazakhstan Samruk Kazina found a way to provide a guarantee in the amount of $1 billion to Karachaganak Petroleum Operating (KPO) oil and gas consortium in the transaction regarding the acquisition of a 10-percent stake in the Karachaganak oil project.
Managing Director of the Nurlan Rakhmetov said about it at an expanded meeting of the Samruk Kazina National Wealth Fund (NWF) on Friday.
"It is planned to reallocate credit line from the State Development Bank of China amounted to $2 billion for the effective implementation of investment plans. It is planned to finance project on constructing a complex of aromatic hydrocarbons at Atyrau Oil Refinery through the Development Bank of Kazakhstan and to provide a guarantee amounted to $1 billion to oil and gas consortium to acquire shares in the Karachaganak project" through the released funds of China's Exim Bank (worth $1.4 billion)," Rakhmetov said.
It will help to maintain the financial stability of KazMunayGas, which significantly affected by the implementation of the Kashagan projectn and projects on modernization of plants, Rakhmetov said.
The government of Kazakhstan and the consortium Karachaganak Petroleum Operating BV reached an agreement in 2011, according to which Kazakhstan's Oil and Gas Company KazMunayGas will participate in the project with a share of 10 percent.
KazMunayGas will have to pay $1 billion for a five-percent share, and five percent will be transferred through its parent company structure, Samruk Kazina. Payment will be funded through a loan of $1 billion, which KazMunayGas will pay in installments for over three years from the proceeds from the sale of its share of hydrocarbons in the project.