Eni, KazMunayGas to Jointly Explore Kazakh Caspian Sea

Italy’s Eni finalised a deal with KazMunayGas about subsoil use rights in the Isatay block, which paves the way for joint exploration of the Kazakh Caspian Sea.  

‘The Chairman of KazMunayGas’ (KMG) Management Board, Sauat Mynbayev, and Eni’s CEO, Claudio Descalzi, finalized today, in the presence of the President of the Republic of Kazakhstan, Nursultan Nazarbayev, and the Italian Prime Minister, Matteo Renzi, an agreement that defines the commercial terms of the transfer to Eni of 50% of the subsoil use rights in the Isatay block located in the Caspian Sea’ reads a note released on Friday evening.  

According to Eni, the Isatay block is estimated to have significant potential oil resources. The block will be operated by a joint operating company established by KMG and Eni on a 50/50 basis.  

‘The joint operating company will benefit from Eni’s proprietary technology, industry-leading track record in exploration and extensive experience in the environmentally and technically challenging conditions of the Caspian Sea shelf’ ENI commented. 

The terms of Eni’s participation in the Isatay block were signed last year in June as part of a strategic agreement between Eni and KMG. The deal signed a year ago also involves the joint development of a shipyard project in Kuryk