KazMunaiGas Exploration: 2009 Oil Output Down 3.8% On Year

Jan 26. Dow Jones. ALMATY

KazMunaiGas Exploration: 2009 Oil Output Down 3.8% On YearLondon-listed oil and gas producer KazMunaiGas Exploration Production (RDGZ.KZ), or KMG EP, said Tuesday its 2009 oil production declined 3.8% from a year earlier to 11.5 million metric tons, or 232,000 barrels of oil a day.

KMG EP said in a statement output from its core assets, Uzenmunaigas and Embamunaigas, was 8.96 million tons, or 181,000 barrels a day – 508,000 tons less from 2008.

“The decline was due to KMG EP’s planned reduction in drilling and production in 2009 in a lower oil price environment,” the company said in a statement.

“Production was also adversely impacted by severe weather conditions in the beginning of the year and interruptions in power supply in the first and third quarters of 2009.”

KMG EP said it would boost its 2010 consolidated production by about 17% “due to the impact of a 33% share in production from the PetroKazakhstan Inc. acquisition, which was finalized in December 2009.”