Kazakhstan, Astana, Feb. 19 / Trend D. Mukhtarov /
It is not worth making a tragedy out of withdrawing U.S ConocoPhillips and Norwegian Statoil from the projects in the Kazakh part of the Caspian Sea (Kashagan and Abay block). This is part of a workflow process, Kazakh political analyst Daniyar Ashimbayev said on Monday.
"Of course, it should be stressed that one would not want to lose big investors such as Norway's Statoil having great experience, high technologies and great authority on the world oil market," Ashimbayev told Trend on Monday.
There are many candidates willing to participate in major investment projects in the Kazakh part of the Caspian Sea. The negotiations with other companies from Central, Eastern Europe and Asia testify to this.
Ashimbayev said that the public and experts always focus on the theme of drawing investments in the Kazakh oil and gas industry.
"There are two features," he said. "Yes, we can have the large western oil company with extensive experience and capabilities as a partner on the one hand, but on the other side - capricious. It is no secret that there are companies having projects all over the world. This allows them to appeal to raise quotations of their shares as it is a part of their global strategy.
The economic priorities of the country are not always a priority for these large companies. It is clear that they have their own principles and requirements that do not always fit with our needs and opportunities."
He said that it is important who will come in their place and under what conditions.
The political analyst added that a new company appearing in the country's oil and gas market would extend the number of countries from which investors appear.
"The country's foreign policy includes a multi-vector feature," he said. "However, our main partners in the oil and gas sector are the companies from the U.S. and China. Therefore, extending the list of countries from where the companies could join our oil and gas market corresponds to our multi-vector policy."
He said that one must not compare India and China in terms of giving preference while selling ConocoPhillips's share in the project of Kashagan development.
"China phobia, which is reflected in the discussions about the dominance of Chinese companies in the oil and gas sector of the country has been exaggerated," he said. "I would like to recall that there was CNPC's unfortunate joining Aktobemunaigas, which caused much stress. However, it was withdrawn by common regulation through changing the management by the Chinese party."
He added that the company which will offer the best conditions will win (in a deal to buy a stake in the Kashagan or Abay blocks).
"That is, the political diversification is a certain lag," he concluded.
The U.S company officially informed the Kazakh authorities and partners about its intention to sell its share (8.4 per cent) in the project to ONGC Videsh Limited in autumn 2012.
Norwegian Statoil officially informed Kazakhstan about its intention to withdraw from the Abay project in the Kazakh sector of the Caspian Sea.
"Statoil has decided to withdraw from Abay," KMG said. "The company officially informed KMG in Jan."
In April 2011, the Kazakh national oil and gas company KazMunaiGas (KMG) and Statoil signed an Agreement of Principle on Abay, located in the Kazakh sector of the Caspian Sea.
According to the agreement, the parties planned to work to coordinate the conditions of joint activity within Abay's implementation. Moreover, the parties agreed on Statoil's participation in the building of a jack-up rig which will be used in future for exploration of the Caspian Sea shelf.
"We are interested in cooperation with Statoil because of their experience in implementing international offshore oil and gas projects as well as their technology. The signing of the Agreement of Principles confirms the parties' intentions concerning a strategic partnership of our companies to work together in the Caspian Sea," former chairman of the board of KMG, Kairgeldy Kabyldin said previously.
In turn, Statoil's executive vice-president for exploration Tim Dodson noted that joint cooperation on the Abay block is an important strategic step for the company in terms of international growth.
The first memorandum of understanding on possible cooperation on Abay was signed between KazMunaiGas national company and Statoil on June 30, 2005.
In June 2010, as part of the Fourth International Investment Summit in Almaty, the parties signed a memorandum of understanding.
Abay is located in the northern part of the Kazakh sector of the Caspian Sea, 65 kilometres from the coast at a depth of eight to10 metres.
KazMunaiGas JSC is Kazakhstan's national exploration, production, processing and transportation operator. All the shares belong to the Sovereign Wealth Fund Samruk-Kazyna.
Statoil is an international energy company represented in over 40 countries. The company is one of the world's largest exporters of crude oil. It is also the largest operator of deep water fields with depths of over 100 metres, the world leader in the capture and storage of CO2, the second largest exporter of gas to Europe and the largest seller of oil products in Scandinavia. The Statoil office in Astana was opened in 2004.
