KMG Buys MOL Interest for $1

KazMunaiGas Exploration Production (KMG EP), the subsidiary of state-owned KMP, said June 16 it has acquired a 49% share in Karpovskiy Severniy exploration block in western Kazakhstan for just $1 from Hungary's MOL. As a result, the former now has a 100% interest in the block. 

KMG EP said it exercised its priority right to purchase the share in the block in accordance with its shareholder agreement. MOL issued no statement but confirmed the transaction to NGW. 

Neither company said if gas was a particular focus in the block, which is 40 km northwest of Uralsk, near KMG EP's Fedorovskiy block and other existing discoveries.

MOL though said it has an interest in the Fedorovsky Block, which has promising discovered reserves and further exploration potential.

Mark Smedley