Kazakhstan, Astana, Feb. 21 / Trend D. Mukhtarov /
The Kazakh government's statements on the forthcoming toughening of requirements for subsoil users when submitting new applications for contract renewal, aim to improve the negotiation positions on major projects in the oil and gas sector, Kazakh political analyst Daniyar Ashimbayev told Trend on Monday.
While speaking at a forum of oil and gas companies entitled 'Oil and Gas: Kazakh content 2013'on February 14, executive secretary of the Kazakh Oil and Gas Ministry Kanatbek Safinov said that the Kazakh Oil Ministry will not consider proposals from subsoil users to extend the contracts in future if they violated fulfilment of contractual obligations.
"These statements are aimed at improving Kazakhstan's negotiation on such major projects as Kashagan, Tengiz," Ashimbayev said, commenting on Safinov. "There are few variants for mutual pressure. Investors may threaten by his leaving. but the state may make a complaint on the environmental component, compliance with labour legislation, non-fulfilment of the terms of the contract and increase in the share of local content."
Ashimbayev added that the matter rests in creating opportunities in searching for compromises to resolve the tasks expected by the country to be fulfilled rather than a principal difference, the pressure on investors.
"We will not consider proposals from subsoil users to extend the contracts if they violate the contractual liabilities within the expert committee and working groups," Safinov said.
He recalled that Kazakh legislation stipulates that any changes are made to the contract only by the companies fulfilling contractual obligations.
