Oil & Gas Country Review - Russia Miningreports.russiamining.com/Kazakhstan.pdf · 2003 to 1.6 Tcf in 2012. Reinjected natural gas has accounted for most of the increase in gross

Oil & Gas Country Review

Kazakhstan

Country Facts

Capital: AstanaLargest city: AlmatyPopulation: 16,967,000

(2013 est.)Language: Kazakh (Qazaq),

RussianReligion: Muslim, Russian

OrthodoxCurrency: TengeCalling code: +7-6xx, +7-7xx

Energy Review Kazakhstan

0 300 km

CaspianSea

AralSea

KAZAKHSTAN

Atyrau

Kazakhstan year endoil reservesBillion barrels

94 04

Source: BP Statistical Review

5.3

9.0

13

30.0

14

30.0

Sourc

e: E

KF

Kazakhstan is an independentnation with a population of about16 million. It is the 9th largestcountry in the world covering avast area of land, sharing itslongest borders with China andRussia, and also bordering theCaspian Sea. The capital city isthe futuristic Astana, withA lmaty be ing the majorcommercial centre and theheadquarters of Tethys’ Kazakhactivities. The country has ademocratically elected Presidentand legislature, impressiveeconomic growth and a well-es tab l i shed o i l and gasinfrastructure and commercialand legal framework.

Energy Overview

Kazakhstan, an oil producer since1911, has the second-largest oilreserves as well as the second-

largest oil production among theformer Soviet republics afterRussia.

Kazakhstan is a major oilproducer. The country's estimatedtotal petroleum and other liquidsproduction was 1.70 millionbarrels per day (bbl/d) in 2014.The key to its continued growthin liquids production from thislevel will be the development ofits giant Tengiz, Karachaganak,a n d K a s h a g a n f i e l d s .Development of additional exportcapacity will also be necessaryfor production growth.

Although Kazakhstan became anoil producer in 1911, itsproduction did not increase to ameaningful level until the 1960sand 1970s, when productionplateaued at nearly 500,000bbl/d, a pre-Soviet independencerecord production level. Since themid-1990s and with the help ofmajor international oil companies,Kazakhstan's production firstexceeded 1 million bbl/d in 2003.

Rising natural gas production overthe past decade has boosted oilrecovery (as a significant volumeof natural gas is reinjected intooil reservoirs) and decreasedKazakhstan's reliance on naturalgas imports. Natural gasconsumption, however, has beenstagnant as the infrastructureand expense required to connectKazakhstan's widely dispersedpopulation to production centersin the country's northwest hasimpeded development.

Kazakhstan is landlocked and isfar from international oil markets.The lack of access to the openocean makes the countrydependent mainly on pipelinesto transport its hydrocarbons toworld markets. Kazakhstan isalso a transit country for naturalgas pipeline exports fromTurkmenistan and Uzbekistan.

Oil

According to the Oil & Gas Journal(OGJ), Kazakhstan had provedcrude oil reserves of 30 billionbarrels as of January 2014—thesecond largest endowment inEurasia after Russia, and thetwelfth largest in the world, justbehind the United States (Source:Oil & Gas Journal).. Kazakhstan'scurrent oi l product ion isdominated by two giant onshorefields in the northwest of thec o u n t r y : Te n g i z a n dKarachaganak, which produceabout half of Kazakhstan's totalpetroleum liquids output. Theoffshore Kashagan field, inKazakhstan's part of the CaspianSea, will also play a major rolein Kazakhstan's liquids productionin the coming years.

The national oil and natural gascompany, KazMunaiGaz (KMG),represents the state's interestsin Kazakhstan's oil and gasindustry. KMG was created in2002 and holds equity interestsin Karachaganak (10%),Kashagan (16.8%), and Tengiz


08 09 10 11 12

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16.4

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19.3

(20%), as well as interestsranging between 33% and 100%in many other productionprojects.

ProductionKazakhstan's two largest projects,Tengiz and Karachaganak,accounted for around half of thecountry's 1.70 million bbl/d totalpetroleum liquids production in2014.

In the 1970s, several largediscoveries were made in presaltr e s e r v o i r s i n c l u d i n gKarachaganak and Tengiz.However, the development ofthese fields was not possible atthe time because of the technicalchallenges of developing thedeep, high-pressure reservoirs.Since international oil companiesbegan to par t i c ipate inKazakhstan's petroleum sectorand as presalt deposits becametechnically and commerciallyviable, these fields have becomethe foundation of the country'spetroleum liquids production.

The Kashagan field, the largestknown oil field outside the MiddleEast and the fifth largest in the

world in terms of reserves, islocated off the northern shore ofthe Caspian Sea near the city ofAtyrau, Kazakhstan. Kashagan'srecoverable reserves areestimated at 7 to 13 billion barrelsof crude oil (Source: Eni). OnSeptember 11, 2013, productionfrom the super-giant fieldcommenced, eight years afterthe original scheduled startupdate. In October 2013, just a fewweeks after production began,production had to be haltedbecause of leaks in the pipelinethat transports natural gas fromthe field to shore. Production isnot expected to resume until thesecond half of 2016 at theearliest.

Natural gas

Kazakhstan's largest petroleumliquids fields also containsubstantial volumes of naturalgas, most of which is reinjectedinto oil wells to improve oilrecovery rates.

OGJ estimated Kazakhstan'sproven natural gas reserves at85 trillion cubic feet (Tcf) as ofJanuary 1, 2014. The majority ofKazakhstan's gas reserves are incrude or condensate-rich fields.The two largest petroleum liquids

fields, Karachaganak and Tengiz,are also the two largest naturalgas fields.

ProductionOver the past decade, annualgross natural gas productionalmost tripled, from 0.6 Tcf in2003 to 1.6 Tcf in 2012.Reinjected natural gas hasaccounted for most of theincrease in gross production,while dry natural gas productionhas remained relatively stable.In 2012, reinjected natural gasproduction was more than doubledry natural gas production.

In 2013, the Karachaganak andTengiz fields combined accountedfo r more than 90% o fKazakhstan's raw marketednatural gas production. TheTengiz project includes a gasprocessing plant, which according


to Chevron produced 251 billioncubic feet (Bcf) of dry marketednatural gas in 2013 that was soldto local consumers. TheKarachaganak project hasinsufficient gas processingcapacity. Most of the rawmarketed production from theKarachaganak field has to beexported to Russia to beprocessed at a gas processingplant in Orenberg. In 2013, about30% of this processed gas wassold in Russia, with the remainderof the dry gas returned toKazakhstan to help meet localdemand. The next phase ofdevelopment at Karachaganakoriginally included plans forfacilities to process its own gasand boost dry natural gas suppliesto consumers within Kazakhstan.However, the project developershave since changed their plans,and gas produced underKarachaganak's next expansionwill largely be reinjected into thefield to boost liquids recovery.

When it comes online, the firstphase of the Kashagan project isexpected to marginally boostsupplies of dry gas to consumersin Kazakhstan. However, like theKarachaganak and Tengizprojects, much of the gasproduced from Kashagan will beeither reinjected into the well toboost liquids recovery or used atthe project site to produceelectricity.

Pre-Caspian Basin

The Pre-Caspian basin, locatedpr imar i ly with in westernKazakhstan, is a highly prolificregion that contains several ofthe world’s largest oil & gasdiscoveries – Russia’s Astrakhan(27 bnboe) gas field as well asthe Karachaganak (14 bnboe),Kashagan, (13 bnbbls), Tengiz(9 bnbbls) and Zhanazhol (1.8bnbbls) oil & gas fields withinKazakhstan – all examples of pre-salt Devonian-Carboniferous reefcarbonate accumulations lyingbeneath an extensive Permiansalt seal.

Oil and gas discoveries have beenmade throughout the basin inboth pre-salt and post-saltsequences. Source rocks arelargely Upper Devonian to LowerPe r m i a n i n a g e , w i t hhydrocarbons migrating laterallyinto adjacent subsalt reservoirsand vertically, where theoverlying salt is either thin orabsent by virtue of salt-domeinfluenced depressions.Reservoir rocks within the giantpre-salt discoveries are generallycarbonate facies and reef build-ups with good, but highlyvariable, permeability andporosity. Within the shallowerpost-salt horizons, Jurassic andCretaceous sandstones typicallyoffer the best reservoir properties.

Salt provides the most uniformlyestablished seal; however,l o ca l i zed ove r l y i ng andinterbedded shale provides a sealfor some post-salt discoveries.

Productive traps in the post-saltenvironment are all related tosalt tectonics, most commonlysealed by updip faults or the wallsof salt domes. However, modern3D seismic imaging has revealedUpper Permian Primary Basinsequences sealed within saltdomes, where 'touchdown' dueto salt evacuation has allowed oilmigration from deeper pre-saltsequences.

Infrastructure

Kazakhstan's oil and gas fieldsare well connected to regionaland international markets via anetwork of trans-regionalpipelines, with a capacity totransport more than 2.5mmbbls/day of oil.

The 4 main trans-regional oilpipelines are:

Caspian Pipeline Consortium(CPC)• Length: 940 miles (runs from

the Tengiz oil field to the Russian Black Sea port of Novorossiysk)

• Capacity: Reported to transportan average of 743 thousand bbl/day in 2009

Kazakhstan-China Pipeline• Length: 1,384 miles (runs from

Atyrau Port in Kazakhstan to Alashankou in China's northwest Xinjiang region)

• Capacity: 200 thousand bbl/day (planning for expansionto 400 thousand bbl/day by 2013)

Atyrau-Samara Pipeline• Northbound link to Russia's

Transneft distribution system• Capacity: 600 thousand

bbl/day

Baku-Tbilisi-Ceyhan Pipeline(BTC)• Kazakhstan ships oil by tanker

via the Caspian Sea to Baku inAzerbaijan, from which Kazakhoil is loaded into the BTC pipeline. The BTC pipeline hasa capacity of 1 million bbl/day,of which 500 thousand bbl/dayis contracted to Kazakhstan


2014 Oil production (thousand bbls per day)

Proved oil reserves at 2014 year end (billion bbls)

Azerbaijan (16.9)Denmark (4.6)Germany (7.7)

Italy (6.6)Kazakhstan (19.3)Netherlands (55.8)

Norway (108.8)Poland (4.2)

Romania (11.4)Russian Federation (578.7)

Turkmenistan (69.3)Ukraine (18.6)

United Kingdom (36.6)Uzbekistan (57.3)

2014 gas production (billion cubic metres)

Source: BP Statistical Review

Proved gas reserves at 2014 year end (trillion cubic feet)

Azerbaijan (848)Denmark (167)

Italy (121)Kazakhstan (1701)

Norway (1895)Romania (85)

Russian Federation (10838)Turkmenistan (239)

United Kingdom (850)Uzbekistan (67)

Azerbaijan (7.0)Denmark (0.6)

Italy (0.6)Kazakhstan (30.0)

Norway (6.5)Romania (0.6)

Russian Federation (103.2)Turkmenistan (0.6)


Azerbaijan (41.2)Italy (1.7)

Kazakhstan (53.2)Netherlands (28.2)

Norway (67.9)Poland (3.5)

Romania (3.9)Ukraine (22.5)



List of World’s Largest Natural Gas Fields

Rank Field name Country Recoverable reserves (Cu ft)

1 South Pars/North Dome Iran and Qatar 1,235×1012 cu ft2 Urengoy Russia 222×1012 cu ft3 Yamburg Russia 138×1012 cu ft4 Hassi R’Mel Algeria 123×1012 cu ft5 Shtokman Russia 110×1012 cu ft6 South Iolotan–Osman Turkmenistan 98×1012 cu ft7 Zapolyarnoye Russia 95×1012 cu ft8 Hugoton USA (TX-OK-KS) 81×1012 cu ft9 Groningen Netherlands 73×1012 cu ft10 Bovanenko Russia 70×1012 cu ft11 Medvezhye Russia 68×1012 cu ft12 North Pars Iran 48×1012 cu ft13 Dauletabad-Donmez Turkmenistan 99×1012 cu ft14 Karachaganak Kazakhstan 46×1012 cu ft15 Kish Iran 45×1012 cu ft16 Orenburg Russia 45×1012 cu ft17 Kharsavey Russia 42×1012 cu ft18 Shah Deniz Azerbaijan 42×1012 cu ft19 Golshan Iran 30×1012 cu ft20 Tabnak Iran 22×1012 cu ft

Source: World List Mania

Kazakhstan's major oil and gas fields

Field name Companies Start year Liquids production Natural gas production

Tengiz Chevron, ExxonMobil, 1991 581 thousand 252 Bcf dry marketed(& Korolev) KazMunaiGaz, LukArco bbl/d total liquids gas production in 2013

(Lukoil and BP) production in 2013 Over 800 thousand bbl/d

potential total liquids productionwith further development

Karachaganak BG, Eni, Chevron, 1984 222 thousand bbl/d total liquids 289 Bcf raw marketed andLukoil, KazMunaiGaz production in 2013 3 Bcf dry marketed gas

An expansion project is under production in 2013consideration, but potentialproduction volumes are uncertain289 Bcf raw marketed and

3 Bcf dry marketed gas productionin 2013

Kashagan KazMunaiGaz, Eni, 370 thousand bbl/d liquids Over 100 Bcf gasExxonMobil,Shell, Total, processing capacity with production capacityChina NationalPetroleum 2016/2017 current development (most gas to be usedCorporation, Inpex (expected) 1,500 thousand bbl/d potential internally at Kashagan)

liquids production with further development Over 100 Bcf gasproduction capacity (most gas tobe used internally at Kashagan)

Source: U.S. Energy Information Administration based on data from TengizChevroil, Chevron, Karachaganak PetroleumOperating (KPO), ExxonMobil, and Eni

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Sedimentary Basins

Alliance Oil

BG Group

Caspian Energy

CNPC

Condor Petroleum

Eni

Equus Petroleum

ExxonMobil

Gazprom

Inpex

International Petroleum

Jupiter Energy

KazMunaiGas

LG International

LUKOIL Overseas

Maersk Oil

Max Petroleum

MOL Group

Mubadala Oil and Gas

Nostrum Oil & Gas

Oman Oil

OMV

ONGC Videsh

Pacific Energy Development

Partex Oil and Gas

PetroKazakhstan

Repsol

Roxi Petroleum

Sequa Petroleum

Statoil

Sumatec Resources

Tengizchevroil

Tethys Petroleum

Total

TPAO

Turgai Petroleum

Vitol

Oil & Gas Companies Kazakhstan

Registered addressAlliance Oil Company LtdClarendon House2 Church StreetHamilton HM11Bermuda

Email: [email protected] officeAlliance Oil Company LtdSivtsev Vrazhek, 39.Moscow 119002Russia

Tel: +7 495 777 18 08

Alliance Oil Kazakhstan

Alliance Oil Company Ltd is aleading independent oil and gascompany wi th ver t i ca l lyintegrated operations in Russiaand Kazakhstan. Alliance Oil hassubstantial oil and gas reservesand downstream operations thatincludes the Khabarovsk refineryand the leading network of gasstations and wholesale oilproducts terminals in the RussianFar East. Alliance Oil's depositoryreceipts are traded on theNASDAQ OMX Nordic under thesymbol AOIL.

Alliance Oil's integrated oiloperations range from Moscowin the West to Vladivostok in theFar East. In the upstreamsegment, Alliance Oil Company'sproven and probable oil reservesare estimated at 733 mboe (as

of December 31, 2012). In 2012,the Company's average oilproduction rate was about 54,000barrels per day. The operatingregions are Timano-Pechora,Volga-Urals and Tomsk in Russiaand the Atyrau region inKazakhstan.

Kazakhstan operations

Alliance Oil conducts productionactivities at the Zhanatalap oilfield, located in the Atyrau regionof Kazakhstan on the northernshore of the Caspian Sea.

Upstream operations

Volga-Urals and Kazakhstan1Q 15 production: 2.3 mboe (47%)1Q 14 production: 2.2 mboe (44%)

Timano-Pechora1Q 15 production: 1.3 mboe (27%)1

1Q 14 production: 1.4 mboe (28%)

Khanty-Mansiysk and Yamalo-Nenetsk2

1Q 15 production: 0.7 mboe1Q 14 production: 0.6 mboe

Tomsk1Q 15 production: 1.2 mboe (26%)1Q 14 production: 1.4 mboe (28%)

Alliance Oil Company, consolidated 2P oil reserves: 614.4 mboe3

2P gas reserves: 47.5 mboe1Q 15 production: 4.8 mboe (average daily: 53,295 boepd)1Q 14 production: 5.1 mboe (average daily: 56,129 boepd)

(1) Percentage in consolidated Alliance Oil Company production.(2) Through the Group’s operations with AROG (Alliance Repsol Oil& Gas), a joint venture with Repsol, which is accounted for underthe equity method.(3) As per DeGolyer & MacNaughton as of 31 December 2014

BG Kazakhstan6th floorAstana Tower Business Centre,12, Samal MicrodistrictAstana, 010000Kazakhstan

Tel: +7 (7172) 59 11 11Fax: +7 (7172) 59 18 35

BG Group plc100 Thames Valley Park DriveReadingBerkshireRG6 1PTUnited Kingdom

Tel: +44 (0)118 935 3222Fax: +44 (0)118 935 3484

BG Group Kazakhstan

Formed in 1999, the BGInternational business unitcomprises the business unitspreviously known as Exploration& Production and InternationalDownstream. Subsequently, BGInternational reorganised andnow has an asset basedmanagement structure. BGInternational reports through fivebusiness segments, Explorationand production (E&P), Liquefiednatural gas (LNG), Transmissionand distribution (T&D), Powergeneration (Power) and Otheroperations.

BG Group is a world leader innatural gas, with a broad portfolioof business interests focused onexploration and production andliquefied natural gas. Active inmore than 20 countries on fivecontinents, BG Group combinesa deep understanding of gasmarkets with a proven trackr e c o r d i n f i n d i n g a ndcommercialising reserves. BGGroup 'base assets' are: Bolivia,Egypt, India, Kazakhstan,Norway, Thailand, Trinidad &Tobago, Tunisia, UK and USA.

The company are active in morethan 20 countries and employaround 5 200 people, drawn from70 nations.


BG Group are a joint operator ofthe giant Karachaganak project,where i t has a 40 yearconcession. They are also ashareholder in the CaspianPipeline Consortium (CPC).

Equity holders (%)BG Group: 29.25ENI: 29.25Chevron: 18.00LUKOIL: 13.50KazMunaiGas: 10.00

Located in north-west Kazakhstanand covering over 280 squarekilometres, Karachaganak is oneof the world's largest gas and

condensate fields. The field holdsestimated hydrocarbons initiallyin place (HIIP) of 9 billion barrels(Bbbl) of condensate and 48trillion cubic feet (tcf) of gas. Thefield also has estimated grossreserves of over 2.4 billion bblsof condensate and 16 tcf of gas.

Karachaganak is controlled byKarachaganak Pet ro leumOperating B.V. (KPO): a jointventure between BG Group(29.25%), Eni (29.25%),Chevron (18%), LUKOIL (13.5%)and KazMunaiGas (10%). Today,Karachaganak is producing atrecord levels, accounting foraround 45% of the country's totalgas production and approximately16% of total liquids production.

Most of Karachaganak's liquidsare exported to the west (morethan 90%), with some oil and allraw gas sold locally and intoRussia.

10 11 12

BG Group Kazakhstan OilProductionThousand barrels per day

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102

98

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92

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85

Calgary OfficeCaspian Energy Inc.410, 396 11th Avenue S.W.,Calgary, AB T2R 0C5

Tel: (403) 252-2462Fax: (403) 252-1399

Caspian Energy Kazakhstan

Caspian Energy Inc. is an oil andgas explorat ion companyoperating in Kazakhstan whereit has a number of targets in thehighly prospective Aktobe Oblastof Western Kazakhstan.

Caspian Energy holds theseassets by virtue of its 40% equitystake in Aral Petroleum CapitalLLP. Aral Petroleum Capital LLPholds an exclusive license, whichentitles it to explore and developcertain oil and gas propertiesknown as a “North Block”, andarea of 1500 sq.km. As well asa 25-year Production contract forthe East Zhagabulak field. TheCompany’s license area liesimmediately adjacent to thevarious producing fields, includingthe Alibekmola, Zhanazhol, andKenkiyak fields.

The Company's licence area liesimmediately adjacent to variousproducing fields, including theAlibekmola, Zhanazhol andKenkiyak fields.

The company holds an exclusivelicence, which entitles it toexplore and develop certain oiland gas properties known as the“North Block,” an area of 1,467square km, and a productioncontract (“Production Contract”)for the area known as “EastZhagabulak,” through its interestin Aral. The Production Contractwas entered into on July 28, 2010with the Ministry of Energy andMineral Resources of the Republicof Kazakhstan (“ROK”) relatingto the East Zhagabulak field (the“License Area”) in the Aktobeoblast of the Republic ofKazakhstan. The ProductionContract provides Aral with theexclusive right, over a 25 yearterm, to extract hydrocarbonsfrom the License Area. Aral isobliged to carry out operationson the License Area in accordancewith the requirements of theProduction Contract, which,among other things, stipulatesminimum levels of involvementfor Kazakhastani personnel, theprocess for approval of work

programs and the need to complywith environmental and otherrequirements. Pursuant to theProduction Contract. Aral isobliged to sell at least 20% of itsproduction to the ROK on anannual basis, and the ROK hasthe pre-emptive right to purchasehydrocarbons at below-marketprices. In addition, Aral isrequired to spend certainamounts on local developmentand maintain a reserve remedialfund. The ROK has certain pre-emptive and other rights underthe Production Contract, includingthe right to requisition thehydrocarbons in the License Areain certain circumstances.

China National PetroleumCorporation9 Dongzhimen North StreetDongcheng DistrictBeijing, 100007China

Tel: 86 10 6209 4114Fax: 86 10 6209 4205

CNPC Kazakhstan

China National PetroleumCorporation (CNPC) is one of theworld's leading integrated energycompanies. It is a state holdingcompany whose businessoperations cover a broadspectrum of upstream anddownstream activities, domesticmarketing and internationaltrade, technical services, andequipment manufacturing andsupply.

Overseas, CNPC has 30international exploration andproduction projects includingoperations in Algeria, Kazakhstan,Oman, Niger, Chad, Canada,Azerbaijan, Ecuador, Peru,Venezuela, China and Indonesia.


CNPC has been operating inKazakhstan since 1997 and nowhas oil and gas assets and equityin the country, while alsoproviding oilfield services.

In Kazakhstan, CNPC mainlyoperates five oilfield developmentprojects (CNPC AktobeMunaiGas,North Buzachi, PK, KAM andADM), two exploration projects,the Kazakhstan-China Crude OilPipeline and the Northwest CrudePipeline, while also constructingthe Second Phase of theKazakhstan-China Gas Pipeline.

In September 2013, CNPC signeda deal with Kazakhstan’sKazmunaigaz (KMG) to purchasean 8.33 percent stake worth $5billion in the Kashagan oil andgas field on the Caspian shelf.

CNPC AktobeMunaiGasIn June 1997, CNPC acquired a60.3% stake in AktobeMunaiGas,and obtained the productionlicense for the Zhanazhol,Kenkiyak Oversalt and KenkiyakSubsalt oilfields and a contractfor an exploration block. CNPCn o w o w n s a n 8 5 . 4 2 %shareholding in AktobeMunaiGas.

In 2011, CNPC and KazMunaiGas

concluded an in-principlecooperation agreement to jointlyexplore and develop the UrikhtauGas Field, which will be a gassource to Phase-II Kazakhstan-China Gas Pipeline.

Kenkiyak Subsalt ReservoirSince CNPC's takeover ofAktobeMunaiGas, by utilizingadvanced drilling techniques andrich development experience,CNPC made it possible to tap themore than a hundred million tonsof reserves in Kenkiyak subsaltreservoirs that are difficult toaccess.

Zhanazhol OilfieldThe Zhanazhol Oilfield has beendeveloped for almost 30 years.By applying gas lift technology,CNPC shortened the flowing backcycle and the production cycle,and increased the average dailyproduction per individual well by18.8 metric tons. Gas lifting iscurrently applied to more than250 oil wells in Zhanazhol Oilfield,and the daily output of gas liftwells accounts for more than67% of the total in the wholefield.

Central Block at the EasternEdge of the Precaspian BasinIn June 2002, CNPC signed a riskexploration contract on thecentral block at the eastern edgeof the Precaspian Basin withKazakhstan's Ministry of Energyand Mineral Resources. The blockis located in southern Aktobe,covering an exploration area of3,262.3 square kilometers, witha contract term of six years.

In 2005, high-yield oil flows wereobtained from exploration wellA-1 located on Block A. Thepreliminary output was tested upto 85 metric tons of crude perday. In 2007, high-yield oil flowswere obtained from the major oilformations in five explorationwells in the North Troyes structureof the central block in thePrecaspian Basin. Oil in place wasestimated to be 150 million metric

CNPC Kazakhstan

tons. By the end of 2008, 180million metric tons of oil in placewas proved at Umit Oilfield.

In 2009, a number of explorationwells at Kazakhstan's Pre-Caspiancentral block also resulted in newbreakthroughs, further expandingthe oil-bearing area of the HopeOilfield, the joint oil/gas projectin Aktobe.

In 2010, new geologic discoveriesin the Pre-Caspian central blockconsolidated and expanded theresource foundation of the HopeOilfield, the company's jointproject in Aktobe.

In 2011, the No. 4 Oil and GasProcessing Plant at the HopeOilfield in Kazakhstan wascompleted.

PetroKazakhstanCNPC acquired PetroKazakhstanin October 2005. According to an

agreement with Kazakhstan'sMinistry of Energy and MineralResources, CNPC transferred 33%of its shares in PetroKazakhstanto KazMunaiGaz in July 2006,and retained the remaining 67%stake in the company.

KashaganIn September 2013, CNPC signeda deal with Kazakhstan’sKazmunaigaz (KMG) to purchasean 8.33 percent stake worth $5billion in the Kashagan oil andgas field on the Caspian shelf.

The Kashagan field is one of thelargest fields in the world openedin the last 30 years withgeological oil reserves of 4.8billion tons, with 38 billion barrelsof oil (10 billion recoverable),and over a trillion cubic metersof natural gas.

The Kashagan project is operatedby the North Caspian OperatingCompany, whose shareholders

are Eni, KMG Kashagan BV (adaughter company of KMG),Total, ExxonMobil, Royal DutchShell with 16.81 percent eachand Inpex with 7.56 percent.ConocoPhilips previously held 8.4percent.

CaspianSea

AralSea

Zaisan Lake

Balkhash Lake

CNPC AktobeMunaiGasKazakhstan-China Crude Oil Pipeline

North Buzachi Oilfield

KAM Prospect

ADM Prospect

KAZAKHSTAN

PetroKazakhstan

Operations Overview

Source: EKF

Kashagan

Condor Petroleum Inc.Suite 2400, 144-4th Ave SWCalgary, AB T2P 3N4

Tel: 403.201.9694Fax: 403.201.9607

Contact:

Norman StormKazakhstan Managing Director

Don StreuPresident, CEO & Director

Sandy QuiltyVP Finance & CFO

Bill HatcherChief Operating Officer

Norman StormManaging Director

Roger WhittakerVP Exploration & New Ventures

David BarkerCountry Manager, Kazakhstan

Condor Petroleum Kazakhstan

Condor Petroleum Inc. is a public,listed international oil and gascompany that is engaged inexploration, development andproduction of oil, natural gas andNGLs in Kazakhstan and Canada.Condor is headquartered inCalgary, Canada and maintainsoperational offices in Kazakhstan.

Two Kazakhstan Territories arecurrently being explored, whichexceed a total area of 20,000 sqkms. The Territories are locatedin regions of proven hydrocarbonsystems, with several wellshaving flowed oil / gas ordemonstrated positive shows.There are numerous prospectivetargets which are supported byextensive historical informationand modern data collectionactivities. These Territories arestrategically located betweenChina, Russia and Europe, andnear existing or developinginfrastructure, including a recentlycommissioned 1 trillion cubic foot(TCF) gas pipeline in southernKazakhstan that flows gas toChina.

Condor also has interests inproducing oil and gas propertiesin Alberta. This provides theCompany with an asset basewhich to establish operatingactivities in Canada and lead theway for additional growth in thedomestic market.


In February 2013, Condorannounced an oil discovery onthe Kiyaktysai KN-E-201 well atthe Zharkamys West 1 Territory(“Zharkamys”) in Kazakhstan.

KN-E-201 encountered a 136meter stacked sand – shaleinterval while drilling to anintermediate casing setting depthof 1,408 meters. Based onwireline logs, this interval has 58meters of net hydrocarbon pay,consisting of a continuous 41meter light oil column and aseparate 17 meter gas column.

In April 2013, Condor Petroleumannounced a binding sale andpurchase agreement to sell its66% participating interest in andcertain indebtedness of MarselPetroleum LLP (“Marsel”), whichowns the hydrocarbon explorationrights for the 18,500 square kmMarsel Territory located in theRepublic of Kazakhstan. The saleprice is US $88.0 million.

The buyer is a non-listedinternational oil and gas group.The transaction requires variouswaivers and consents from theGovernment of Kazakhstan andis subject to the satisfaction ofcertain commercial conditionsand third party waivers typicalfor transactions of this nature.The transaction is expected to be

Zharkamys West 1

Source: EKF

Condor Petroleum Kazakhstan

completed by the fourth quarterof 2013. In the interim periodprior to closing, the Buyer hasagreed to provide Marsel with aUS $5.0 million loan to fundcertain costs, including costsrelated to ongoing explorationactivities.

The Company intends to use theproceeds from the Marsel sale toconcentrate its near term focuson the exp lora t ion anddevelopment of the Company’sZharkamys Territory, includingthe recent ly announcedKiyaktysai oil discovery and topursue other oil-related growthopportunities within Kazakhstan.

Zharkamys TerritoryIn September 2013, Condorannounced that the ZharkamysWest 1 Territory (“Zharkamys”)has been expanded by 43% or1,124 km2 (278,000 acres) to atotal area of 3,734 km2 (923,000acres). The Company is targetingadditional Pre-Salt and PrimaryBasin exploration plays on thenew acreage. Numerousprospective structures havealready been identified and 3Dseismic acquisition is planned tofully characterize the new acreageresource potential.

The Zharkamys expansion hasbeen approved by the Ministryof Oil and Gas of the Republic ofKazakhstan and is expected tobe added to the currentexploration contract. Theproposed minimum work programis an additional US$2.9 million.The Zharkamys expansion couldsubstantially augment theCompany’s existing 1,515 MMboeProspective Resources.

AppraisalIn 2014, the KN-E-205 PrimaryBasin appraisal well was drilledin the fourth quarter to a totaldepth of 1,876 meters andencountered multiple sandstonereservoirs that have a total of 71meters of net oil pay. The wellwas cased to total depth. This

well further validates thegeological model used tocharacterize the Primary Basinplay, continuing to reduce thegeologic risk associated with thedeeper Primary Basin prospectson Zharkamys like KN-501.

ProductionProduction increased 64% to anaverage of 343 bopd for the threemonths ended December 31,2014 from 210 bopd for the sameperiod in 2013 and decreased30% to 205 bopd for the yearended December 31, 2014 from291 bopd in 2013. The fourthquarter increase relates to thepositive performance of the twoShoba horizontal wells whichwere successfully drilled andcompleted in the fourth quarterof 2014, representing the firstshallow horizontal wells drilled inKazakhstan’s Pre-Caspian basin.

Exploration & ProductionAgip Caspian Sea B.V.Astan Tower 12, Samal MicroDistrict 19th FloorAstana, 473000

Tel: (0031) 20 5707100

Agip Karachaganak B.V.Amterdam HeadquartersKazakhstan Branch 62,Kosmonavtov Street, 7th FloorMicro District, Astana

Tel: (0031) 20 5707101

EniHeadquartersPiazzale Mattei, 1, 00144 - RomaTel: +39 06 59 82 1Fax +39 06 59 82 21 41

MILANPiazza Ezio Vanoni, 120097 San Donato Milanese (MI)Tel: +39 02 52 01

Eni Kazakhstan

Eni are a major integrated energycompany, committed to growthin the activities of finding,p roduc ing , t ranspo r t i ng ,transforming and marketing oiland gas. The company operatesin the oil and gas, electricityg e n e r a t i o n a n d s a l e ,petrochemicals, oilfield servicesconstruction and engineeringindustries. Eni is active in 70countries with a staff of about79,000 employees.

Kazakhstan Exploration &Production

Eni has been operating inKazakhstan since 1992, the yearnegotiations began for theKarachaganak field. Eni and BritishGas are co-operators of theKarachaganak production deposit,while Eni is part of the NorthCaspian Sea PSA consortium forthe development of the Kashagandeposit. .

In 2011, En i ’s share ofhydrocarbon production inKazakhstan amounted to 106,000barrels of oil equivalent per day,including 64,000 barrels/day ofoil and condensates and 6.5million cubic metres /day ofnatural gas.

KashaganEni holds a 16.81% stake in theNorth Caspian Sea ProductionSharing Agreement (NCSPSA)consortium that regulates theexploration, development andexploitation rights for an area ofapproximately 4,600 squarekilometres located in the northernpart of the Caspian Sea. Thiscontractual area includes theKashagan deposit, which wasdiscovered in 2000 and isconsidered to be one of thebiggest hydrocarbon discoveriesin the last 35 years. In subsequentyears the Kashagan South West,Kalamkas, Aktote and Kairandeposits were discovered in thesame area.

The other partners in theconsortium are the state-owned

KazMunaiGas and Total, Shell andExxonMobil, each of which holdsa 16.81% stake, ConocoPhillips,with an 8.40% stake, and Inpex,with a 7.56% stake.

Exploration, development andexploitation operations in theKashagan field and in the otherdiscoveries situated in thecontractual area are based on anoperational model that divides upresponsibility for the developmentphases of the Kashagan projectbetween the international partnersand assigns a significant role inthe operational management tothe Kazak partner. The role ofproject operator was assigned toNorth Caspian Operating CompanyBV (NCOC), which is owned bythe seven consortium members,and North Caspian subsequentlydelegated the development,drilling and production operationsto the main partners in theconsortium. In particular, Eni,through its subsidiary Agip KCO,is responsible for phase 1 (theExperimental Programme) and forthe onshore part of thedevelopment phase (phase 2) ofthe field.

The consortium is focussed oncompleting phase 1 and startingup production. At the end ofFebruary 2012, 99% of theoperations necessary for startingproduction (Kashagan CommercialProduct ion or KCP) werecompleted, and the consortium iscontinuing with its objective, whichis technically feasible, of startingproduction in the first few monthsof 2013.

On September 11, 2013, followingthe completion, test and deliveryof all infrastructures, first oil fromthe giant Kashagan field wasproduced.

From October 2013 productionhas been halted due to a technicalissue that occurred to the pipelinetransporting acid gas fromoffshore to onshore facilities,without any impact on thee n v i r o n m e n t a n d l o c a l

Eni Kazakhstan

communities. Recovery activitiesare ongoing. Management believesthat from 2015 field productionwill recover to the originallyexpected level, nonetheless thefield contribution to Eni’sproduction profile for the year2014 has been prudently assumedto be marginal.

The next phase of the projectincludes the construction ofinfrastructure for exporting theincremental production from thefield to international markets.

KarachaganakSituated in the onshore area inthe west of the country,Karachaganak is a giant depositthat produces oil, condensatesand natural gas and has estimatedrecove rab l e r ese rves o fapproximately 5 billion boe. Theoperations conducted by theKarachaganak Pe t ro l eumOperating BV (KPO) consortiumare regulated by a 40-yearProduction Sharing Agreementwhich runs out in 2037.

On 14 December 2011, theKarachaganak Pe t ro l eumOperating (KPO) consortiumsigned a binding agreement atAstana with the Republic ofKazakhstan allowing the state-owned KazMunayGaz (KMG) tobecome part of the consortium.As part of the agreement, eachof the partners in the consortiumwill give up an equal share of theirstake so that KMG will hold a 10%share in the project.

The Republic of Kazakhstan agreedto make available a part of KMG’stransportation capacity in the CPCoil pipeline to the consortium forexporting crude to the Black Sea(up to 2 million tons of liquids peryear) until the end of the lease in2037.

In June 2012 the agreement cameinto effect, and the division of theshares means that Eni is the co-operator of the project togetherwith British Gas and each of the

two companies has a 29.25%stake, while Chevron has 18%and Lukoil 13.50%.

Production. In 2011, productiono f h y d r o c a r b o n s f r o mKarachaganak amounted to239,000 barrels/day of liquids(Eni’s share amounted to 64,000)and 24 million cubic metres/dayof natural gas (Eni’s shareamounted to 6.5 mill ion).Operations produced liquids(condensates and oil) from thedeepest parts of the deposit, whilesome of the associated gasproduced from the deposits wasre-injected into the upper parts.

Approximately 85% of theproduction of liquids is stabilisedat the Karachaganak ProcessingComplex (KPC), which has acapacity of around 240,000barrels/day, before being tradedin western markets aftertransportation through theCaspian Pipeline Consortium (2%Eni)and the Atyrau-Samarapipeline that is connected to theRussian export system. The non-stabilised liquids and the gas thatis not re-injected into the depositare traded on the local Russianmarket through the Orenburgterminal.

Isatay offshore areaIn June 2014, KazMunayGas’(KMG) Cha i rman o f theManagement Board, SauatMynbayev, and Eni’s CEO, ClaudioDescalzi, today a strategicagreement. The agreement willresult in KMG and Eni each holding50% of exploration and productionrights in Isatay, an offshoreexploration area located in thenorth Caspian Sea. The block isestimated to have significantpotential oil resources and will beoperated by a joint operatingcompany.

The agreement also involves thedevelopment of a shipyard projectin Kuryk, located on the CaspianSea coast of the Mangystauregion. The shipyard will be

managed by a project companywhich will be formed by Eni andKMG.

Th i s ag r eemen t f u r t he rstrengthens Eni’s presence in theRepublic of Kazakhstan, where itco-operates the Karachaganakfield and is equity partner inseveral fields in the north CaspianSea, including the giant Kashaganfield.

Prime Minister of Kazakhstanmeets Eni CEO ClaudioDescalziIn December 2014, the PrimeMinister of Kazakhstan, KarimMassimov, and the Minister ofEnergy, Vladimir Shkolnik, metEni’s CEO Claudio Descalzi todayin Astana.

In the meeting, Claudio Descalziillustrated the positive progressof Eni’s activities in Kazakhstan,with a particular focus on theprojects for the Kashagan andKarachaganak fields, and Eni’spartnership with State OilCompany KazMunaiGaz, both forthe Isatay offshore explorationarea and the shipyard project inMangystau Region.

Claudio Descalzi also commentedon the recent agreement betweenthe government of Kazakhstanand the Kashagan partners, whichresolved a number of operational,financial, and ecological matters.“This agreement provides furthermomentum to achieve the earliestsafe restart of Kashaganproduction and reinforces ourstrategic decision to continueinvesting in Kazakhstan, a countrywith supergiant oil and gas fieldsand a positive investment climate.These factors are particularlyrelevant in the current volatilemarket, which requires ourindustry to be increasinglyselective in the capital investmentprograms.‘

Source: EKF

Equus Petroleum PlcEquus Petroleum Plc, 2 ParkStreet, London W1K 2HX,United Kingdom

Tel: +44 (0) 203 653 0001Email:[email protected]

Key Personnel:

Murat ImankulovChief Executive Officer, Director

Amit MadaharChief Operating Officer

Equus Petroleum Kazakhstan

Equus Petroleum Plc was formedto acquire the Kazakh-registeredoperating company Kumkol TransService LLP. This was completedin June 2012.

Equus' immediate strategy is toprovide capital investment to fullydevelop the Sarybulak oilfieldwhich was discovered by KTS in2006 and which KTS hasdeveloped from cash flow throughthe Test Production Phase. Equus'work programme in 2014 isfocused on the construction ofoil gathering and processingfacilities, gas handling facilitiesand drilling sufficient wells to fullydevelop the Sarybulak field.

Exp lora t ion dr i l l i ng wasundertaken in 2014 to furtherinvestigate the large KTS licencearea where multiple targets havebeen identified by recentlyreprocessed 3D se ismic.

In parallel Equus will be seekingother opportunities, initially inKazakhstan, in order to developEquus into a s igni f icant

international oil and gas company.Equus operates oil and gasexploration and productionactivities in Central Kazakhstanthrough its Kazakh – registeredsubsidiary Kumkol Trans ServiceLLP (“KTS”).

Oil pipeline

Hydrocarbon deposits

To China &Shymkent

LICENCEBLOCK

ASTANA

Aryskum

S. Arysskoye

Maibulak

KyzylkiyaKumkol

N. Nurali

Ashisai

Sarybulak

Arysskoye

Akshabulak

Aksai

Bektas

Konys

Nurali

Doshan

Corporate HeadquartersExxonMobil5959 Las Colinas BoulevardIrving, Texas 75039-2298

Tel: +1 (0)972 444-1000Fax: +1 (0)972 444 1350

Key Personnel:

Bruno JardinManaging Director of ExxonMobilKazakhstan Inc.(Appointed February 2013)

ExxonMobil Kazakhstan

ExxonMobil has leading positionsin nearly all the major explorationand production areas in the worldand in the newest opportunities,including the Gulf of Mexico,offshore West Africa and theCaspian Sea.

Exxon Mobil Corporation'supstream business is organizedinto five global companies:Exploration, Development,Production, Gas Marketing, andResearch. The Company is theworld's largest non-governmentproducer and reserves holder.

ExxonMobil's portfolio consists ofdiscovered oil and gas resourcesof 70 billion oil-equivalent barrels,activities in some 50 countriesand a leading acreage positionin the world's most promisingexploration areas.

In 2014, net daily liquidsproduction was up 44 thousandbarrels or 2 percent versus 2013,excluding the impact of theUnited Arab Emirates onshoreconcession expiry, as the start-up of major projects, increasedU.S. unconventional liquidsproduction, and improved uptimeperformance more than offsetfield decline. Net natural gasproduction was down almost 6percent due to lower weather-related demand and field decline,partly offset by project start-ups.Total net oil-equivalent productionof 4.0 million barrels per day wasessentially in line with our plans.


ExxonMobil has had a continuousbus iness invo lvement inKazakhstan for 20 years, and isactive in the development,production and transportation ofoil and gas in Kazakhstan. Weare represented by the followingactive affiliates: ExxonMobilKazakhstan Inc. (EMKI),ExxonMobil Kazakhstan VenturesInc. (EMKVI), and Mobil CaspianPipeline Company (MCPC).

TengizExxonMobil participates in theTengizchevroil (TCO) joint venture(ExxonMobil interest, 25 percent),which includes a productionlicense area encompassing thesuper-giant Tengiz field, thenearby Korolev field, and anassociated processing complex.The Tengiz field has producedmore than 2.4 billion barrels ofoil from a total gross resource ofmore than 6 billion barrels. In2014, net production from thesefields averaged 144 thousandbarrels of liquids per day and 153million cubic feet of gas per day.Front-end engineering wascompleted, and early works wereprogressed in 2014 to increaseproduction capacity by as muchas 265 thousand barrels of oilper day and extend currentproduction rates as reservoirpressure declines.

KashaganAs a participant in the NorthCaspian Sea Production SharingAgreement (ExxonMobil interest,17 percent), ExxonMobil areworking with consort iumm e m b e r s t o p r o g r e s smultiphased development of themassive Kashagan field locatedoffshore in the Caspian Sea.Phase 1 includes an offshoreproduction and separation hubon an artificial island, severaldrilling islands, and an onshoreprocessing plant. Following a briefproduction period in 2013,operations were suspended dueto a leak discovered in theonshore section of the gaspipeline. Following an extensivetechnical investigation, a decisionwas made to replace both the oiland gas pipelines. New pipe hasbeen ordered and pipelineconstruction is planned to beginin spring 2015 with targetcompletion in the second half of2016.

Caspian Pipeline ConsortiumThe Caspian Pipeline Consortium(ExxonMobil interest, 7.5 percent)operates a pipeline that runs from

ExxonMobil Kazakhstan

the Tengiz field in Kazakhstan tothe Novorossiysk marine terminalon the Russian Black Sea coast.Currently, the consortium isconstructing an expansion projectthat will increase system capacityfrom 0.6 million to 1.4 millionbarrels per day. Initial expansioncapacity became available inFebruary 2014 with completionof the remaining phases expectedthrough 2016. This pipelinesystem represents the lowest-cost export option for Kazakhcrude oil, with both TCO andfuture Kashagan developmentsas major shippers.

Gazprom representative officein the Republic of Kazakhstan(Astana)25 (Ansar Business Center),Syganak St., AstanaRepublic of Kazakhstan, 010000

Tel: +71-72 55-05-08 (09)Fax +71-72 55-05-10 faxEmail: [email protected]

Contact:Yury Pimshin Director

OJSC GazpromHead Office16 Nametkina St.Moscow

Tel: +7 (495) 719-30-01Fax: +7 (495) 719-83-33Email: [email protected]

Iran - Representative officeApt. 4, Floor 2, No.143QEYTARIYEH, Tehran

Tel: +98 (212) 224-07-37Fax: +98 (212) 223-46-03Email: [email protected]

China - Representative OfficeNo.1, Jian Guo Men Wai Avenue,Beijing, PRCChina World Tower 1Level 15, Unit 1517

Tel: +86 (10650) 5-60-93 (94,95, 96, 97)

Turkmenistan - RepresentativeOffice33 Novoarchabelskoe road744036, Ashkhabad

Tel: +993 (12) 48-91-21Fax: +993 (12) 48-91-21

Ukraine - Representative Office9/2 office 80Bolshaya Vasilkovskaya St.01004 Kiev

Tel: +380 (44) 287-46-65Fax: +380 (44) 289-13-51

Gazprom Kazakhstan

Gazprom was founded inFebruary 1993 (as Russian JointStock Company Gazprom).

The Group:• is currently the largest gas

company in the world• supplies gas to practically all

the Russian regions• produces 94% of Russia's gas

and has 25% share of world production.

• employs 362,000 people.

The federal government holdsthe controlling (50.002 per cent)interest in the company. Gazpromis the world's biggest gascompany and accounts for 94%of Russia's gas production (23%of the world output).

The major part of Gazprom'sproduction fields are locatedaround the Gulf of Ob in Yamalo-Nenets Autonomous Okrug inWestern Siberia, while the YamalPeninsula is expected to becomethe company's main gasproducing region in the future.Gazprom possesses the largestgas transport system in the world,with 158,200 kilometres of gastrunk lines. Major new pipelineprojects include Nord Stream andSouth Stream.

Gazprom also carries outprospecting and exploration inforeign countries such as India,Algeria, Venezuela, Vietnam,Libya, Kazakhstan, Uzbekistan,Kyrgystan and Tajikistan.


Tsentralnoye fieldThe project is targeted atprospecting and exploringhydrocarbon resources of theTsentralnaya geological structurein the Caspian Sea. The projectwas launched in 2003.

Project execution andreserves estimationConstruct ion of the f irstprospecting well with a depth of4.227 meters was completed

during the project execution.A large oil, gas and condensatefield was discovered in theTsentralnaya structure in 2008.In November 2008 the FederalAgency for Subsurface Use issueda certificate confirming the fielddiscovery.

In late 2008 TsentrCaspneftegazcarried out 3D seismic survey.

Gazprom and NK Lukoil arelooking to establish a jointv e n t u r e b e t w e e nTsentrCaspneftegaz and NKKazMunaiGaz in the form of alimited liability company for thepurpose of acquir ing thesubsurface use rights based onproduction sharing agreementsin the Tsentralnoye field.

The field’s C1 and C2 reservesare estimated at 20.2 and 149million tons of fuel equivalentrespectively.

Imashevskoye fieldOn September 7, 2010 Russiaand Kazakhstan signed theIntergovernmental Agreementon joint geological explorationand invest igat ion of theImashevskoye ga s andcondensate field.

The field is located 60 kilometersnortheast of Astrakhan in Russiaand 250 kilometers southwest ofAtyrau in the KurmangazyDistrict, Kazakhstan. It containsover 100 billion cubic meters ofexplored gas reserves with ahydrogen sulfide content of 15to 17 per cent.

As the authorized field operators,Gazprom and NK KazMunaiGazwill compile the geologicalexploration program for the field.Once the reserves are estimatedand put on the balance of Russiaand Kazakhstan, economicviability will be determined forfurther reserves development.

Head OfficeINPEX CORPORATIONAkasaka Biz Tower 5-3-1Akasaka, Minato-kuTokyo 107-6332, Japan

Tel: +81-3-5572-0200Fax: +81-3-5572-0205

Inpex Kazakhstan

INPEX Corporation is currentlyJapan's largest oil and gasexploration and production (E&P)company. They are engaged inexploration, development andproduction activities around theglobe with production of over420,000 boe/d and have thelargest oil and gas reserves andproduction volume amongJapanese companies.


Offshore North Caspian SeaContract Area (Kashagan OilField and others)INPEX 7.56%Eni 16.81%ExxonMobil 16.81%KMG 16.87%Shell 16.81%TOTAL 16.81%CNPC 8.33%At June 2014

In September 1998, INPEXacquired an interest in theOffshore North Caspian SeaContract Area in Kazakhstan'sterritorial waters. The OffshoreNorth Caspian Sea Contract Areaconsists of two blocks: the EastBlock is about 4,300 km2 andthe West Block is about 1,275km2 in area (for a total of about5,575 km2). The Kashagan OilField, which is in the East Block,is located in the Caspian Sea atdepths of 3–5 m and isapproximately 75 km southeastof Atyrau, Kazakhstan.

Since the first exploratory wellwas drilled in September 1999,the Kashagan Oil Field wascon f i rmed in 2000 andcommercial discoveries wereannounced in 2002. Afterdevelopment work, the KashaganOil Field began producing crudeoil in September 2013, butproduction was suspended dueto gas leaks from the pipeline.

Besides the Kashagan field,hydrocarbon reserves were alsoconf i rmed in four otherstructures: Kalamkas, Aktote,

Kairan and Kashagan Southwest.Appraisal of these structures iscontinuing in parallel with thedevelopment of the mainKashagan field with a view toexpanding the total productionof the contract area.

ACG Oil FieldsINPEX 10.96%BP (operator) 35.78%Chevron 11.27%SOCAR 11.65%Statoil 8.56%ExxonMobil 8.00%TPAO 6.75%Itochu 4.30%ONGC 2.72%At June 2014

INPEX acquired an interest of theAzeri-Chirag-Gunashli (ACG) OilFields in a region of the southCaspian Sea in Azerbaijan in April2003. At the ACG Oil Fields, oilis being produced at the ChiragField, the Central Azeri Field, theWest Azeri Field, the East AzeriField and the Deepwater GunashliField. Additional developmentwork on the Chirag Oil Projectsince 2010 led to the start ofproduction of crude oil in January2014.

BTC Pipeline ProjectINPEX 2.5%BP* 30.1%Azerbaijan (BTC) Limited 25%Chevron 8.9%Statoil 8.71%TPAO 6.53%Eni 5%TOTAL 5%Itochu 3.4%ConocoPhillips 2.5%ONGC 2.36%At June 2014

The 1,770-km BTC pipelinestretches from Baku in Azerbaijanon the coast of the Caspian Seato Ceyhan in Turkey. Full-scaleoperation commenced in June2006. Total transportationcapacity stands at 1.2 millionbarrels per day, mainly for crudeoil produced in the ACG Oil Fieldsin Azerbaijan.

Corporate Office:32 Harrogate StreetWest Leederville, WesternAustralia 6007Australia

Postal Address:P.O. Box 1385, West Leederville,Western Australia 6901, Australia

Tel: +61 8 9388 0744Email: [email protected]

UK Office:Stratton House, 5 Stratton Street,London W1J 8LA

Tel: +44 (20) 3435 7676, +44(20) 3435 7700Fax: +44 (20) 3435 7677

Key Personnel:

Anya BelogortsevaKazakhstan Regional Manager

Alexander OsipovVP Business Development

International Petroleum Kazakhstan

International Petroleum Limitedis an Australian-domiciled, NSX-listed (NSX code: IOP), oil andgas exploration and productioncompany.

The Company's assets include:

Yuzhno-Sardakovsky Project100% equity interest in a licenceover the Yuzhno-Sardakovskyfield for geological study ofsubso i l , prospect ing andextraction of oil and gas in theKhanty-Mansiysk AutonomousRegion in Western Siberia.

Zapadno-NovomolodezhnyProject100% equity interest in a licenceo v e r t h e Z a p a d n o -Novomolodezhny f ield forgeological study of subsoil,prospecting and extraction of oiland gas in the Khanty-MansiyskAutonomous Region in WesternSiberia.

Kransnoleninsky Project75% equity interest in theexploration rights to four blocks,covering a total area of 1,467km², located in the Khanty-Mansiysk Autonomous Region(the largest oil-producing regionof Russia) in Western Siberia.

During 2011, the Company drilledtwo exploration wells in theKrasnoleninsky Project anddiscovered commercial quantitiesof oil in both wells and registeredthese two oil fields as theVostochno-Kamskoye field andthe Yanlotskoye field.

Yanchinsky Project100% equity interest in a licenceover the the Yanchinsky block forgeological study of subsoil andprospecting for oil and gas in theKhanty-Mansiysk AutonomousRegion in Western Siberia.

Druzhny Project (“TomskExploration Licence”)75% equity interest in anexploration licence in the Tomskregion of Western Siberia.

Niger Project100% interest in four productionsharing contracts and fourE x c l u s i v e E x p l o r a t i o nAuthorisations relating to fourblocks in the Republic of Nigerknown as Manga 1, Manga 2,Aborak and Ténéré Ouest.

Tubatse Project10% interest in three mineralfarms, namely Hoepakrantz,Nooitverwacht and Eerste Geluk,with 3PGE+Au resources, locatedin the eastern limb of theBushveld Complex in the Republicof South Africa.


Alakol ProjectInternational Petroleum’s currentkey asset is its 50% interest inan early stage licence blockcovering 24,649 km2 of the AlakolBasin and Balkhash Basin (“AlakolProject”). The Alakol Basin islocated in eastern Kazakhstanand borders the western boundaryof the People’s Republic of China.

The Alakol block almost entirelycovers the Alakol Basin (andpartially the Balkhash Basin), amajor unexplored oil and gasbasin situated on the Chineseborder across from the contiguousmultibillion barrel oilfield complexof Junggar – Karamay Fields inChina. IPL’s subsidiary company,North Caspian Petroleum Limited(“NCPL”), signed a Joint OperatingAgreement (“JOA”) with RemasCorporation LLP (“Remas”), ownerof the remaining 50% interest inthe licence block, in April 2006.NCPL is the operator of the projectunder the JOA and has exclusiveexploration rights to the AlakolProject until November 2012.

NCPL will finance the first stagef ive year operat ing andexploration Minimum WorkProgramme (“MWP”) at a cost ofUS$35 million (approximatelyUS$33 million has been spent todate). At completion of the firststage MWP, each party is requiredto fund their share of exploration

International Petroleum Kazakhstan

and development costs, however,NCPL has a right to increase upto 80% equity interest in theAlakol Project should theCompany fund Remas’ share ofcosts at this stage (should Remaschoose not to contribute).

The projects geographic locationis close to Chinese markets andsuppliers and benefits fromexisting infrastructure: tank farmand refinery facilities; road, railand air access; and pipeline withinthe licence area.

In a report, as of 31 July 2012,DeGolyer and MacNaughton(“D&M”) estimated (a) the grossprospective oil resources of 12oil and gas prospects that havebeen identified in the AlakolProject in Kazakhstan as305,744,000 barrels on a P90b a s i s ( L o w e s t i m a t e ) ,517,307,000 barrels on a P50b a s i s ( B e s t e s t i m a t e ) ,980,994,000 barrels on a P10basis (High estimate) and600,844,000 barrels on anexpected value basis (Meanestimate) and (b) the grossprospective raw natural gasresources of 12 oil and gasprospects that have beenidentified in the Alakol Project inKazakhstan as 42,605,000,000cubic feet on a P90 basis (Lowestimate), 122,656,000,000 cubicfeet on a P50 basis (Bestestimate), 317,064,000,000 cubicfeet on a P10 basis (Highestimate) and 156,629,000,000cubic feet on an expected valuebasis (Mean estimate).

The estimated prospectiveresources volumes have not beenadjusted for geological oreconomic risks. Low, Best andHigh estimates means there is a90%, 50% and 10% chance,respectively, that an estimatedquantity of resources volume willbe equalled or exceeded assuminga discovery has been made(success case). There is nocertainty that any portion of theprospective resources estimated

by D&M on behalf of the Companywill be discovered. If discovered,there is no certainty that it willbe commercially viable to produceany portion of the prospectiveresources evaluated.

Alakol Licence Area updateDuring 2013 the Companyconducted in house geologicalstudy of the blocks and workedon a new geological model, incommunication with third parties.The new geological model was tobe used for re-evaluation ofresources and an update of theexploration program.

In August 2014 the Groupreceived notification from theKazakhstan Ministry of Oil & Gas(“MOG”) that its rights to thelicence have been withdrawn byMOG unilaterally. The Companydoes not accept this as beingjustified and has written to MOGrequesting that the licence bereinstated. On 11 November 2014NCPL lodged a lawsuit against theMinistry of Energy of the Republicof Kazakhstan, pertaining to theearly termination of the Alakollicence subsurface use contract.

Jupiter Energy LimitedRegistered Address:Level 2, 28 Kings Park RoadWest Perth WA 6005

Postal Address:PO Box 1282West Perth WA 6872

Tel: + 61 (0) 8 9322 8222Fax: +61 (0) 8 9322 8244Email: [email protected]

Contact:Amangeldy TastigarayevChief Geologist

Jupiter Energy Kazakhstan

Jupiter Energy Limited is an oilexploration and productioncompany, listed on the AustralianStock Exchange (ASX), London'sAlternative Investment Market(AIM) and the Kazakh StockExchange (KASE). Its owns 100%of an exploration permit (knownas Block 31) in the MangistauBasin, West Kazakhstan. Block31 is currently 123km2 in sizeand the entire permit covers anarea of proven oil production.The Company has its operationsbased in the port city of Aktau,which is located approximately80km from Block 31. The Block31 permit has a 10 yearexploration licence as well as a25 year production licence. Thecurrent 10 year exploration periodruns until December 2016. TheCompany currently has 4 wellsapproved for Trial Production (J-50, J-51, J-52 and J-53) and afurther 3 wells that haveapplications for their TrialProduction Licences in progress(J-55, J-58 and J-59). All oilproduced during Trial Productionis sold into the domestic market.

The Company has an experiencedBoard and Management teamwith excel lent in-countryexperience and a proven trackr e c o r d i n d e v e l o p i n gorganisations from early phaseto proven revenue generation.

Mangistau Basin SWKazakhstan – GeneralGeologyThe Mangistau Sub-basin islocated in western Kazakhstanbordering the Caspian Sea. It hasan onshore component which is300 km long and 100 km wide.It is a large unpopulated Asiansteppe with little vegetation dueto low rainfall. Temperatures areextreme, ranging from +40 to -40 degrees Celcius. The surfaceconditions for seismic and fielddevelopment however are idealdue to easy terrain with a tinycultural and environmentfootprint.

The Petroleum Geology can besimplified to a Triassic failed NW-SE rift forming horsts and grabensand a syn-rift Jurassic clasticsequence topped by a Tertiary toCretaceous shale cover.

Total reserves for the basin is inexcess of 5 Billion barrelsincluding two giant oil fields Uzenand Zhetybay. Remainingpotential is estimated by Jupiterand the USGS at 10-100 mmstbper discovery.

In the past wells were located on2D seismic which was verysuccessful in finding the simple4 way dip domes in the Jurassicbut did not fully define the morestructurally complex Triassic faultblocks. Recent 3D surveys haverevolutionized the knowledgebase and led to many new oildiscoveries and the revitalizationof many old oil fields.

The forward planJPR has completed eight wells.Four wells (J-51, J-52, J-53 andWell 19) are have Trial ProductionLicences (TPL) and J-50 iscurrently awaiting renewal of its2015 TPL. Oil produced duringthe trial production period canonly be sold into the domesticmarket. Production is currentlyshut in as domestic oil prices areuneconomic. TPL applications forthe J-58 and J-59 wells arecurrently being progressed.

JSC KazMunaiGas ExplorationProduction17, Kabanbai Batyr ave.Astana, 010000, Republic ofKazakhstan

Tel: +7 (7172) 97-99-97Fax: +7 (7172) 97-74-26

Contact

Dastan AbdulgafarovManaging Director for BusinessDevelopment

KazMunaiGas Kazakhstan

KazMunaiGas Explorat ionProduction JSC is a subsidiary ofNational Company KazMunayGas,a state-owned oil and gascompany of Kazakhstan.

KMG EP was founded in March2004 by the merger of twohitherto joint stock companies,U z e n m u n a i g a s a n dE m b a m u n a i g a s . J S CKazMunaiGas Explorat ionProduction (KMG EP) producescrude oil, natural and associatedgas from its hydrocarbon reservesonshore in Kazakhstan. TheCompany also has an activeexploration programme tomaintain and grow its reservebase.


KMG EP has preferential accessto exploration acreage due to itsrelationship with the KazakhGovernment and the parentcompany. Together with the pre-emption rights to acquire existingoil and gas assets offered forsale, the Company has access tonew areas obtained by NC KMGvia direct negotiations with thegovernment. Such advantageallows the Company to replenishits exploration portfolio and tocompete effectively with thelargest t ransnat iona l o i lcorporations.

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rce:

EKF

Aktau

Nurzhanov

Akigen

Atyrau

EasternMakat

Zhanaozen

Caspian Sea

Uzen, Karamandybas,addjacent territories

KAZAKHSTAN

Liman

Taisoigan

P-9

TURKMENISTAN

KMG EP’s key exploration targets

RU

SSIA

KazMunaiGas Kazakhstan

The Company maintains that thepotential for exploration inKazakhstan is considerable, bothoffshore and onshore. KMG EP iscurrently carrying out offshoreexploration in the areas of Liman,Taisogan, R-9 and also in theareas neighbouring the Uzen andKaramandybas fields. Onshorethe country has been wellexplored down to a depth of 3 –3.5 kilometres. KMG EP believes,however, that there are largepotential resources lying beneaththat depth, particularly in thesubsalt horizons.

The core production assets of theKMG EP consist of two maindivisions: JCS UzenMunaiGas(UMG) and JCS EmbaMunaiGas(UMG).

Production HighlightsKMG EP, including its stakes inKazgermunai (KGM), CCEL(CCEL) and PetroKazakhstan Inc.(PKI), produced 6,122 thousandtonnes of crude oil (250 kbopd)in the first six months of 2015,an 0.3% increase over the sameperiod of 2014.

Ozenmunaigas JSC (OMG)production increased by 4% to2,722 thousand tonnes (111kbopd) in comparison with thesame period of 2014, largely dueto conducting geological andtechnical works to improve wellefficiency. Embamunaigas JSC(EMG) produced 1,385 thousandtonnes (56 kbopd), slightly lessthan in the same period of 2014.The total volume of oil OMG andEMG produced was 4,107thousand tonnes (167 kbopd), a2% increase compared with thesame period of 2014.

The Company’s share inproduction from CCEL, KGM andPKI for the first six months of2015 amounted to 2,015thousand tonnes (83 kbopd)which is 3% less than in the sameperiod in 2014, due to the naturaldecline of production by 10% inPKI, in line with the productionplan for 2015.

Reserves at 31 December2014In April 2015, JSC K?z?unaiGasExploration Production announcedthe results of the reserves auditas at 31 December 2014performed by independentconsultant Miller and Lents, Ltd.at the Ozenmunaigas JSC(“OMG”), Embamunaigas JSC(“EMG”) and Ural Oil and Gas LLP(“UOG” where KMG EP holds a50% stake) fields.

• Proved (1P) liquid hydrocarbonreserves are down by 16%, or19 million tonnes, to 103 million tonnes (763 mmbbls)

• Proved plus probable (2P) liquidhydrocarbon reserves are downby 11%, or 16 million tonnes,to 132 million tonnes (981 million barrels);

• Proved, probable plus possible(3P) liquid hydrocarbon reserves are down by 10%, or18 million tonnes, to 164 million tonnes (1,215 million barrels).

G International Corp.LG Twin Towers, 20 Yoido-dongYoungdungpo-gu, Seoul 150-721Korea

Tel: 82-2-3777-1114 (Operator)

LG International Corp. AlmatyOfficeTel: 7-727-334-2122~4Fax: 7-727-334-2125

LG International Kazakhstan

Korean multi-national company,LG International Corp. (LGI) isengaged in the coal, crude oil,nonferrous metals, electronicsmachinery, petrochemicals, andsteel businesses. It is involvedin the development and supplyof coal in Australia, Indonesia,Russia, China, and Canada;development of oil and gas fieldsin Oman, Qatar, Vietnam,Kazakhstan, and Chile; anddevelopment and trading of theindustrial raw materials in thefield of nonferrous metals,including aluminum, copper, tin,and zinc.

The company is also engaged ina range of projects in variousfields, including gas treatmentand oil refinery plant projects;ethane cracker and polymer plantprojects; power generationplants, including fossil fuel,thermal, hydroelectric, andphotovoltaic; environmentalfacilities related to water andw a s t e t r e a t m e n t ; a n dt r a n s p o r t a t i o n a n dcommercial/industrial facilities,as well as manages a range ofservices associated with projectdevelopment from planning toconstruction, and operation andmaintenance.


LGI is operator of the Galaz block,located in the Kyzylorda Oblastin central Kazakhstan.

The Galaz block Contract Areawas extended on 10 January2011 to 179 square kilometresand now includes significantexploration upside on the eastside of the Karatau fault system,as well as the NW Konysdevelopment.

LGI, the Korean multi-national,has invested US$34.4 million byway of loans into the project andpaid a further US$15.6 million inreturn for 40 per cent of theasset. A total of 30 squarekilometres 3D seismic has beenacquired and processed.

Roxi Petroleum has a 34.44interest in the Galaz ContractArea.

Roxi Petroleum announced anextention to the Galaz asset inJuly 2014 for a further two-yearperiod to 14 May 2016. Thelicence has been extended on thecurrent pilot production basis,although at the request of GalazLLP may be converted to a fullproduction licence.

LUKOIL Overseas1, Bolshaya Ordynka,Moscow, 115035, Russia

Tel: +7 (495) 933 17 00Fax: +7 (495) 933 18 00

Lukoil Overseas Kazakhstan

LUKOIL Overseas Group is agrowing oil and gas companycomprising an integral part of thevertically integrated oil companyOAO LUKOIL. It is engaged in theexp lo ra t ion , acqu is i t i on ,integration and subsequentefficient development of oil andgas fields outside the RussianFederation to promote thetransformation of OAO LUKOILinto a transnational energycompany.


LUKOIL has been operating inthe Republic of Kazakhstan since1995. The company has anumber of onshore productionprojects under way, as well asthe Caspian Pipeline Consortium(CPC). LUKOIL is the largestRussian investor in Kazakhstan:the company's cumulativeinvestment in Kazakhstan'seconomy is around $7 billiondollars. LUKOIL's share in overallhydrocarbon production inKazakhstan is about 10%.

TengizLUKOIL joined the project at theend of 1997. Operator: TOOTengizchevroil. Participants:Chevron – 50%, ExxonMobil –25%, KazMunayGas – 20%,LUKOIL – 5%. The project isbeing run in accordance with theagreement signed in 1993 validfor 40 years.

The Tengiz and Korolevskoyefields that make up the projectare located in Atyrau Region, 120kilometers from Aktau. The Tengizfield produced 26.6 million tonsof liquid hydrocarbons and about13.4 billion cubic meters of gasin 2014.

KarachaganakLUKOIL joined the project in1997. Operator: KarachaganakPetroleum Operating B.V.Participants: BG – 29.25% (co-operator), ENI – 29.25% (co-operator), Chevron – 18%,L U K O I L – 1 3 . 5 % a n d

KazMunayGas – 10%. The fieldis being developed in accordancewith the Final Production SharingAgreement (FPSA) signed inNovember 1997 valid for 40years.

The Karachaganak field is locatedin West Kazakhstan Region, 140kilometers from Uralsk. Theproduction exceeded 12 milliontons of liquid hydrocarbons andover 18 billion cubic meters ofgas in 2014. Currently, furtherfield development options arebeing reviewed to increase theproduction.

North BuzachiThe North Buzachi field is locatedin Mangistau Region, 250kilometers to the north of Aktau.LUKOIL joined the project in2005. Operator: JV BuzachiOperating Ltd. Participants: CNPC– 50% and Caspian InvestmentResources – 50% (LUKOIL –50%, Sinopec – 50%). The fieldis being developed in accordancewith the subsurface use contractsigned in May 1997 valid for 25years.

In June 2015 LUKOIL announcedthat it had signed an agreementwith Sinopec for the sale ofLUKOIL’s 50% interest in CaspianInvestment Resources Ltd. Thetransaction’s closing is subject torequisite governmental consentsand approvals and is to occur byDecember 1, 2015.

KumkolThe Kumkol field is located inKyzylorda Region, 200 kilometersfrom the town of Kyzylorda.LUKOIL joined the project in1995. Operator: AO TurgaiPetroleum. Participants: LUKOILOverseas – 50%, CNPC – 50%.The field is being developed inaccordance with the contractsigned in April 1996 valid for 25years.

Alibekmola / KozhasaiThe fields Alibekmola andKozhasa i are located in

Lukoil Overseas Kazakhstan

Aktyub insk Reg ion , 270kilometers from Aktobe. LUKOILjoined the project in 2005.Operator: TOO KazakhoilA k t o b e . P a r t i c i p a n t s :KazMunayGas – 50% andCaspian Investment Resources –50% (LUKOIL – 50%, Sinopec –50%). The fields are beingdeveloped in accordance with thesubsurface use contract signedin August 1999 valid for 25 years.In June 2013, Kazakhoil Aktobeoperating company celebratedthe 10-millionth ton of oilproduced from the start-up ofthe Alibekmola and Kozhasaifields.


KarakudukThe Karakuduk field is located inMangistau Region, 360 kilometersfrom Aktau. LUKOIL joined theproject in 2005. Operator: TOOKarakudukMunai. Participants:Caspian Investment Resources(LUKOIL – 50%, Sinopec – 50%).The field is being developed inaccordance with the subsurfaceuse con t rac t s i gned inSeptember1995 valid for 25years.


ArmanThe Arman field is located inMangistau Region, 270 kilometersfrom Aktau. LUKOIL joined theproject in 2005. Operator: TOOArman. Participants: Caspian

Investment Resources (LUKOIL– 50%, Sinopec – 50%). Thefield is being developed inaccordance with the subsurfaceuse contract signed in June 1994valid for 30 years.


Caspian Pipeline ConsortiumThe Caspian Pipeline Consortium(CPC) is the only privately-ownedp ipe l i ne i n Russ i a andKazakhstan. The pipeline runsf r o m t h e Te n g i z f i e l d(Kazakhstan) to Novorossiysk(Russia) and passes throughAtyrau Region of Kazakhstan andfour regions of Russia (Astrakhan,Stavropol and Krasnodar Regionsand the Republic of Kalmykia).

Participants: OAO Transneft –31% (manages the stakes of theRussian Federation – 24% andCPC Company – 7%); theRepublic of Kazakhstan – 20.75%(represented by KazMunayGas –19% and Kazakhstan PipelineVentures LLC – 1.75%), Chevron– 15%, LUKOIL – 12.5%,ExxonMobil – 7.5%, JV Rosneft-Shell – 7.5%, BG – 2%, ENI –2% and Oryx Caspian Pipeline –1.75%.

The agreement was signed inDecember 1996, and the pipelinewas put into operation in October2001. The total pipeline lengthis over 1,500 kilometers and thepipeline size is 1,020 millimeters.The basic capacity is over 28million tonnes per year. For thefirst time ever, over 40 milliontonnes of oil were transportedvia the CPC system in 2014. Theconstruction project to expandthe CPC’s capacity to 67 milliontonnes of oil per year began in2011.

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EKFi

KazakhstanMaersk Oil Kazakhstan GmbHBuilding #1, 21 microdistrict,130000Aktau, Kazakhstan

Tel: +7 7292 571600 or 700Fax: +7 7292 571601 or 701

Key Personnel:

Morten KelstrupManaging Director, Maersk OilKazakhstan

HeadquartersMærsk Olie og Gas A/SEsplanaden 50, 1263Copenhagen KDenmark

Tel: +45 33 63 40 00

Maersk Oil Kazakhstan

Maersk Oil is an international oiland gas company with operatedproduction of about 625,000barrels of oil equivalent per dayfrom Denmark, UK, Qatar,Kazakhstan, Algeria and Brazil.Exploration activities are ongoingin Angola, Norway, the US Gulfof Mexico, Kurdistan, Greenlandand in the producing countries.Maersk Oil and its subsidiarycompanies are part of the DanishA.P. Moller – Maersk Group.


Maersk Oil entered Kazakhstanin 2000, acquiring a 60% interestin the onshore Temir Block buthad relinquished acreage in 2004and sold the Saigak field in 2011.In 2002, Maersk Oil acquir/ed a60% interest and operatorshipof the Dunga Block with PartexCorporation (20%) and Oman OilCompany Limited (20%). Theacreage (283.25km2) is operatedunder a Production SharingContract signed in 1994.

The Dunga Phase I developmentproceeded in 2007 and Phase IIwas approved in 2011. Averageoil production from the Dungafield is currently some 6,000barrels of oil a day.

First oil at Dunga Phase IIsets path to 30,000 bpd inKazakhstanIn December 2012, the firstDunga Phase II well came on-stream, ensuring early, if modest,cash flow.

Dunga Phase II, a $1 billionproject, is the first of Maersk Oil’smajor projects to deliver first oil.It is expected that the majordevelopment projects, combinedwith current production, will

increase Maersk Oil’s entitlementproduction by 50% to 400,000barrels per day (bpd) by 2020.

In the coming three years, fourdrilling rigs at Dunga willcomplete a new well every threeweeks. When all 198 wells aredrilled by 2015, production isexpected to be 30,000 bpd andadd around 15,000 bpd to MaerskOil’s entitlement production.

Atyrau

Dunga

Aqtau KAZAKHSTAN

RUSSIA

Caspian Sea

Kazakhstan Office AlmatySamek International LLP4th Floor, 32 “A” Manas StreetAlmaty 050008Republic of Kazakhstan

Tel: + 7 7272 378 382Fax: + 7 7272 378 381Email: [email protected]

UK Head Office LondonMax Petroleum PLC2nd Floor81 PiccadillyLondonW1J 8HY

Tel: + 44 (0) 20 7355 9590Fax: + 44 (0) 20 7355 9591

Max Petroleum Kazakhstan

Max Petroleum is an independentoil and gas exploration andproduction company focused onKazakhstan. The Company is apub l i c l im i t ed companyincorporated and domiciled in theUnited Kingdom and listed on theLondon Stock Exchange’s AIM(LSE-AIM) and on the KazakhstanStock Exchange (KASE).

The Group holds a 100% interestin the Blocks A&E Licence areacovering over 12,455 km2 in thehighly prolific Pre-Caspian Basinin Western Kazakhstan. The Pre-Caspian Basin has produced someof the world’s largest oil and gasdiscoveries, including the super-g iant Teng iz , Kashagan,Karachaganak and Astrakhanfields, which range in size fromseven to 20 billion barrels of oilequivalent in recoverablereserves.

Kazakhstan operat ions

During the six months ended 30September 2014, the Group hasbeen able to produce from theZhana Makat, Asanketken andBorkyldakty fields continuously,with these three fields generatingave ra g e p r o d u c t i o n o fapproximately 3,600 bopd.Additionally, the Group has testedappraisal wells at the Sagiz Westand East Kyzylzhar I fields,generating a variable amount ofTest Production. Cumulatively,the Group produced a total of776,000 bbls during the interimperiod, or an average of 4,239bopd, an increase of 17% fromtotal production of 664,000 bbls,or 3,630 bopd, during thecomparative period in 2013, and2% higher than the 4,170 bopdproduced during the six monthsended 31 March 2014.

The Zhana Maka t andBorkyldakty fields operated withFFD status for the whole interimperiod and could producecontinuously, with 80% of theproduction from these fieldse l ig ib le for export . The

Asanketken field operated withTPP status and was therefore ableto produce continuously duringthe interim period, but with thefield’s production only eligible forsa le domest ica l ly wi th inKazakhstan. In October 2014,after the interim period,Asanketken was granted FFDstatus and therefore 80% ofproduction from this field cannow be exported, generating ahigher selling price and an aftertax netback that has historicallybeen US$15 to 25 per bbl higherthan that for domestic oil sales.Currently, the Zhana Makat,Borkyldakty and Asanketkenf i e l d s a r e p r o d u c i n gapproximately 3,400 bopd,resulting in approximately 2,700bopd available for export. Mostrecently, the Group achievedrecord average month lyproduction of 4,733 bopd duringthe month of October 2014,which included Test Productionfrom the Sagiz West and EastKyzylzhar I fields.

Aktobe

Astana

Almaty

KAZAKHSTAN

UZBEKISTAN

TURKMENISTAN

AFGHANISTAN

TAJIKISTAN

KYRGYZSTAN

INDIA

CHINA

IRAN

GEORGIA

AZERBAIJAN

ARMENIA

R U S S I A

90oE80oE70oE60oE50oE40oE

50oN

40oN

MOL Caspian Oil and Gas Ltd.Dostyk Ave 148A-A1417000 Uralsk, Kazakhstan

MOL Hungarian Oil and GasCompanyHeadquartersHungary, BudapestOktóber huszonharmadika u. 18,H-1117

MOL Group Kazakhstan

MOL Group is one of CentralEurope’s leading international,independent o i l and gascompan ies . The Group ’sprofound knowledge of the CEEregion has provided a solid basefor recent expansion and hascontributed greatly to its successin the international oil and gasindustry.

MOL, with its Subsidiaries, is aleading integrated oil and gascompany in Central & EasternEurope, with the following coreactivities:

• Exploration and production ofcrude oil, natural gas and gasproducts;

• Refining, transportation, storage and distribution of crude oil products at both retailand wholesale;

• Transmission of natural gas;• Production and sales of olefins

and polyolefins;• Production of electricity and

thermal energy from gas andrenewable resources.

• MOL Group comprises one ofthe leading Hungarian chemical companies, TVK, theSlovakian oil company Slovnaft, the Austrian retail and wholesale company Roth,and a strategic partnership with the Croatian company, INA.

The company's upstream-drivenportfolio consists of oil and gasexploration assets in 12 countriesand valuable production plantsin 7 countries. Whereas MOLGroup’s traditional core area hasbeen the CEE region, with 75years’ continuous oil and gas

Kms0 600

CaspianSea

AralSea

LakeBalkhash

North KarpovskiyFedorovsky

MOL Group Kazakhstan

i n d u s t r y p r e s e n c e a n daccumulated exper ience,increasing focus is now beingg iven to the company 'sinternational assets where theyhave over 2 decades ofinvestment. In the past fewyears, MOL Group has devotedsignificant efforts to expandingthis asset base to deliver growth.

To strengthen this asset base,an intens ive exp lorat ioncampaign was undertaken in2012 with a 64% drilling successrate. MOL’s exploration-driven E& P strategy focuses on organicgrowth opportuni t ies. Ingeographical terms, MOL’straditional core area has alwaysbeen Central & Eastern Europe.The company then successfullydiversified their portfolio byadding international assets.Taking advantage of theirregional and local experienceand operational know-how thecompany acquired new blocks incountries where they alreadyhad strong presence such asOman, Kazakhstan and Russiaand entered Romanian blocksnext to the Hungarian border toexploit their extensive PannonianBasin experience.

Kazakhstan• Significant discovery in recent

years (gross field size ~ 200Mmboe reserves)

• New block acquired (49%) in2012 in the vicinity with significant recoverable resource potential (gross fieldsize 240 Mmboe reserves)

• Continuing the intensified appraisal and early production development (Fed)

• Ongoing exploration programon N-K field

• Start production: H2 2016• Plateau: 2019-2023 with

further exploration upside• Reserves (SPE 2P-2012): 37

MMboe II• Recoverable resource potential

(unrisked, WI based): 135 MMboe

In November 2012, MOLsuccessfully closed a deal withJSC Kazmunaigas Explorationand Production (KMG EP) for theacquisition of 49% of shares inJSC Karpovskiy Severniy, holdero f the Nor th Karpovskye x p l o r a t i o n l i c e n s e i nKazakhstan.

The explorat ion programcontains drilling of two firm andtwo optional exploration wellsand acquisition of 335 km 2Dseismic line.

MOL Group is also present inKazakhstan participating in theFedorovsky exploration blocklocated in the neighborhood ofthe North Karpovsky block, wherethe consortium led by MOLachieved a significant gas-condensate discovery in 2008.

DiscoveryIn May 2014, MOL announced anew crude and natural gasdiscovery in the Rozhkovskoyefield in the Fedorovsky Block,Kazakhstan.

MOL has a 27.5 percent workinginterest in the Fedorovsky block,with KazMunaiGas E&P holding a50 percent stake in the block andFIOC holding 22 percent.

Mubadala Oil & GasPO Box 45005Abu DhabiUnited Arab Emirates

Tel: +971 2 413 0000Fax: +971 2 413 0001

Kazakhstan6th Floor, Ansar Business Center25 Syganak Street, Esil DistrictAstana City, 010000Republic of Kazakhstan

Tel: +7 717 255 0659Fax: +7 717 255 0659

Mubadala Oil and Gas Kazakhstan

Mubadala is mandated tostrengthen Abu Dhabi’s growthpotential, and to help theG o v e r n m e n t m e e t i t ssocioeconomic targets. While thecompany’s investments aredesigned to generate sustainableprofits over the long-term, theyalso deliver strong social returnsto Abu Dhabi and the United ArabEmirates.

Mubadala Petroleum is exploring,appraising, developing, andproducing oil and gas resourcesin the Middle East, North Africa,and Central and Southeast Asia.It is a partner in a number ofmajor projects including theDolphin Energy project, which iscentral to meeting the energyneeds of the United ArabEmirates; enhanced oil recoveryprojects in Oman and Bahrain;and high impact exploration inKazakhstan, Tanzania andSoutheast Asia.


Nursultan Block (N Block)Mubadala signed a major contractw i th ConocoPh i l l i ps andKazMunaiGas (KMG) in 2009covering the joint exploration anddevelopment of the NursultanBlock (‘N’ Block) in the CaspianSea, offshore Kazakhstan.

The Block is located 30 kilometerssouth-southwest of Aktau,Kazakhs tan and cove r sapproximately 8,100 sq. km, anarea considered to be primeterritory for oi l and gasprospecting in the region.

As a majority owner, KMG willhold 51 percent of the subsoiluse contract, with the balanceshared equally by Mubadala andConocoPhillips.

In January 2013, KazMunaiGasbought a 24.5 percent stake heldby ConocoPhillips in the Nursultanoffshore oil block in the Caspian.

With the acquisition of the stake,KMG now hold a 75.5 percentshare in the exploration anddevelopment project andMubadala the remaining 24.5percent

Nostrum Oil & Gas PLCGustav Mahlerplein 23 B1082 MS AmsterdamThe Netherlands

Tel.: + 31 20 737 2288Fax: + 31 20 737 2292

London OfficeNostrum Oil & Gas PLC53-54 Grosvenor StreetLondon W1K 3HUUK

Tel.: +44 203 7407430Fax: +44 207 493 3603

Key Personnel:

Alexej ErberGroup Head of BusinessDevelopment

Gernot VoigtländerDirector of Geology and ReservoirManagement

Nostrum Oil & Gas Kazakhstan

Nostrum Oil & Gas PLC is aleading independent explorationand production company with apremium listing on the LondonStock Exchange (LSE) (Tickersymbol: NOG). The assets of thecompany's operating subsidiariesare located in the oil-rich pre-caspian basin.

The principal producing asset ofNostrum Oil & Gas is theChinarevskoye field, in which itholds a 100% interest and is theoperator, through its wholly-owned subsidiary ZhaikmunaiLLP. In addition, Nostrum Oil &Gas holds a 100% interest in andi s the opera tor o f theRostoshinskoye, Darinskoye andYuzhno-Gremyachenskoye oil andgas fields. Located in the pre-Caspian basin to the north-westof Uralsk, these exploration anddeve l opment f i e l d s a reapproximately 60 and 120kilometres respectively from theChinarevskoye field.


The history of Nostrum Oil & Gasstarted with its main producingasset, the Chinarevskoye field,and continued more recently withthe acquisition of three new fieldsin its vicinity in north-westernKazakhstan thereby offeringdirect operational synergies, i.e.the Rostoshinskoye field, theDarzhinskoye field, and theYuzhno-Gremyachenskoye field.

Chinarevskoye FieldOil and gas operations in theChinarevskoye field began duringthe Soviet era with the drilling of9 wells. Hydrocarbons weresubsequently discovered in theBiski and Afoninski reservoirs in1991. The discovery of theTournaisian reservoir followed in1992, but drilling came to a haltin 1993 due to a lack ofgovernment funding.

In 1997, Nostrum Oil & Gas wasgranted the exploration andproduction l icense of the

Chinarevskoye field and theassoc iated grandfatheredProduction Sharing Agreement( P SA ) a n d c o m m e n c e dexploration activities. Three ofthe wells that had been drilledduring Soviet times werereactivated between 2000 and2002. In 2003, Nostrum Oil andGas discovered the Givetian(Mullinski) accumulation, and, in2004, the Lower Permianreservoir was successfully tested.The Oil Treatment Facility (OTF)was completed in July 2006. In2007, gas condensate wasdiscovered in the Givetian(Adatovski) and SouthernTournaisian reservoirs and duringthe same year, crude oil wasdiscovered in the Bashkirianformation.

In May 2008, commercialprospects were declared for theMullinsky oil and gas condensatepool, the Ardatovsky gascondensate pool, the Famenianoil and gas condensate pool andthe Biski-Afoninski oil and gaspool. New commercial discoverieswere also made in the south andwest regions of the Tournaisianreservoir.

According to Ryder Scott, thei n d e p e n d e n t p e t r o l e u mconsultant used by Nostrum Oiland Gas to evaluate its oil andgas reserves, the Company'sgross estimated hydrocarbonreserves (before governmentshare and royalty) at theChinarevskoye field as ofDecember 31, 2012 stands at194.8 mmboe of proved and311.3 mmboe of probable,resulting in a total of 506.1mmboe of 2P reserves. Thisrepresents a 2.5 fold increase onthe 198.5 mmboe recorded in2004, when the currentmanagement team took over.

Rostoshinskoye,Darzhinskoye And Yuzhno-gremyachenskoye FieldsNostrum Oil & Gas acquired thesethree fields for a total purchase

11 12 13

Production (boepd)Liquids (Crude oil, stabilisedcondensate, LPG and dry gas

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Nos

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Oil

& G

as

13,1

58

36,9

40 4

6,1

78

14

44,4

00

15

45,4

79

17F

70,0

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Nostrum Oil & Gas Kazakhstan

price of US$ 16 million. Theseacquisitions were completed inMarch 2013.

It's estimated that it will costapproximately US$ 85 million toconduct the necessary appraisalactivities in the three fields overthe next 2 - 3 years. Theseactivities wil l include theacquisition of new 3D seismicdata and/or the reprocessing ofexisting 2D and/or 3D seismicdata, as well as appraisal drillingin order to validate and expandon the existing older reservesreports by Chapman.

GeologyHydrocarbon assets of NostrumOil & Gas are located in north-western Kazakhstan in thenorthern part of the pre-Caspianbasin. The Chinarevskoye field iscurrently the main producingasset of Nostrum Oil & Gas. Otherassets include the Rostoshinskoyefield, the Darzhinskoye field, andthe Yuzhno-Gremyachenskoyefield. These are all located in thevicinity of the Chinarevskoye field,offering the advantage of directoperational synergies.

The Chinarevskoye field is amulti-formation structure madeup of 10 reservoirs with a totalof 44 segments spread over threeareas: Western Area (16segments), North(east)ern Area(24 segments) and the SouthernArea (4 segments). It has testedhydrocarbons at significant ratesfrom:

(i) the Lower Permian horizonsat 2,700 m to 2,900 m,represented by limestone anddolomitic limestone;

(ii) limestone of the LowerCarboniferous Tournaisianformation at approximately 4,200m to 4,900 m depth with a grossthickness of about 200m;

(iii) the middle Devonian Givetianhorizons at approximately 4,800- 5,000 m depth, represented by

sandstone with carbonatecement; and

(iv) the middle Devonian Biskiand Afoninski formations at adepth of approximately 4,850 -5,000 m with a gross thicknessof 200 m and represented byl imestone and do lomi t i climestone.

Oil was found in the LowerPermian, Tournaisian and Givetian(Mullinski) reservoirs. Gascondensate was found in theTournaisian and Biski, Afoninskiand Givetian (Ardatovski)reservoirs.

ProductionFor the nine month period ended30th September 2014, averagedaily production was 45,204boepd.

ReservesAn update of Nostrum’s reservesreport was completed by RyderScott in December 2013.

1P: The Proven reserve basegrew from 195 mboe as of 31December 2012 to 199 mboe.Ta k i n g i n t o a c c o u n tapproximately 16 mboe ofproduction during 2013; Nostrumreported a reserve replacementratio of 102%.

2P: Total 2P (Proven andProbable) reserves increased by75 mboe to 582 mboe from 31December 2012. The new licenceareas account for 98 mboe of thetotal 2P reserves. The totalChinarevskoye 2P reserves were483 mboe.

3P: Total 3P reserves were 691mboe, of which 76 mboe arelocated in the Chinarevskoye fieldand 34 mboe in the new licenceareas.

Oman Oil Company S.A.O.C.PO Box 261PC 118, Sultanate of OmanMuscatQurum Area, Opposite to QurumCity Centre

Tel: + 968 - 2457 3100Fax: + 968 - 2457 3101Email: [email protected]

Oman Oil Kazakhstan

Oman Oil Company S.A.O.C.(OOC) is a commercial companywholly owned by the Governmentof the Sultanate of Oman. TheCompany was incorporated in1996 to pursue investmentopportunities in the energy sectorboth inside and outside Oman.Through participation in energyand energy related projects, theCompany plays an important rolein the Sultanate's efforts todiversify the Omani economy andto promote Omani and foreignprivate sector investment.


Caspian Offshore projectLocated in the North Caspian Sea,south of Kalamkas; the CaspianOffshore project is an explorationand p roduc t i on sha r ingagreement between OOC,Kazakhstan’s National OilCompany “KazMunayTeniz” (KMT)and Shell International E & P. InDecember 2005 a productionsharing agreement was signedbetween Oman Pearls CompanyL i m i t e d ( 2 0 % s h a r e ) ,KazMunayTeniz (25% share) andShell International E & P (55%share). The EPSA covers an areaof 895km2 for exploration licensecontaining a group of explorationprospects known as the “Pearls”.In 2007, the first exploration wellwas drilled yielding hydrocarbondiscovery in the Khazar field, andsince then two additionalappraisal wells were drilled testinghydrocarbons. Moreover, twoexploratory wells have beendrilled in other structures in thearea, proving hydrocarbons inAuesov field but not in the Tulparprospect.

The Dunga Oil Field is anonshore project located 50 kmto the north of Aktau city inKazakhstan. The field is jointlyowned by OOC (20% share),Portuguese investment fundPartex (20%), and operated byMaersk Oi l (60%) stake.Operations first commenced in1998. The first phase of the pilot

project was completed in 2001which included the drilling ofseven wells and the constructionof the surface facilities. In 2002,the second appraisal phase wasinitiated to evaluate the field'sproduction performance undervarious development schemes,and was completed in mid 2007.A full field development plan(FDP) was formulated andapproved by the authorities inJuly 2007. The first phase of theFDP was completed in 2009,comprising of drilling eight verticalwells and six horizontal wells.The FDP was then updated, basedon the performance of the latestwells, and a modified FDP wassubmitted to the local authoritiesfor final approval of the Phase-2 development plan. In addition,a carbonate appraisal well wasd r i l l ed and commencedproduction from June 2010resulting in a boost of the field'soil production. Estimated Ultimaterecovery is 97.6MM bbl by 2024(contract period).

OMV Petrom S.A. (BOKazakhstan)Teniz Business Center4 microdistrict, 18 building130000 AktauRepublic of Kazakhstan

Tel.: +7 7292 200 901Fax: +7 7292 200 910

OMV AktiengesellschaftTrabrennstraße 6-81020 ViennaAustria

Tel. +43 1 40440 - 0

OMV Petroleum ExplorationGmbH

Branch Office ErbilHouse No. 41Italian City Compound100m Street, ErbilKurdistan Region of Iraq

Tel: +43 1 40440 22561

OMV Kazakhstan

With Group sales of EUR 42.65bn and a workforce of around29,000 employees in 2012, OMVAktiengesellschaft is Austria’slargest listed industrial company.In Exploration and Production,OMV is active in two corecountries Romania and Austriaand holds a balanced internationalportfolio. OMV had proven oil andgas reserves of approximately1.12 bn boe as of year-end 2012and a production of around303,000 boe/d in 2012.


OMV is the operator of fourproducing onshore oilfields;Tasbulat, Turkmenoi, Aktas andKomsomolskoye. All fields arelocated in the Mangistau regionof West Kazakhstan near theCaspian Sea.

Crude produced is sold bothinternationally and domestically.Associated gas produced is re-injected and sold domestically.Good progress was made inimplementing an artificial liftprogram, starting up waterinjection in the Komsomolskoefield and executing a successfulworkover campaign in theKomsomolskoe and Tasbulat OilCompany (TOC) fields (Tasbulat,Turkmenoi and Atkas). A final

investment decision for the fieldredevelopment plan for the TOCfields was also taken in 2012.

OMV has been a significant andlong term foreign investor.Currently over 430 people areemployed in the country,comprised mainly of skilled localstaff. OMV invests in local projectsfor long term direct benefit tocommunities living close to theoilfields. Examples of suchp r o j e c t s i n c l u d e t h erefurbishment of a sports stadiumand the construction of a culturalcentre.

Sou

rce:

EKFi

Atyrau

Aqtau KAZAKHSTAN

RUSSIA

Caspian Sea

Location of OMV operatedonshore producing fields

Representative Office ofONGC Videsh LimitedOffice 72/2, Kaskad BusinessCentre6/1, Kabanbai Batyr AvenueAstana, 010000, Republic ofKazakhstan

Tel: +7 7172 925 470

Contact:Balbir Singh, Country ManagerE: [email protected]

Branch Office of ONGC VideshLimitedSatpayev Operating LLP 050060,12B Kurmangazy Street, AtyrauCity, Republic of KazakhstanTel: (o) +7(7122)-307060

Contact:L M Onkarprasad, DirectorGeneral (GM & Geology)Email: [email protected]

ONGC Videsh Limited6th Floor, 'Kailash'26, Kasturba Gandhi MargNew Delhi 110001India

Tel: +00-91-11-23730368,41291100Fax: +00-91-11-23730369,23721755

Kazakhstan

OVL is the second-largest E&Pcompany in India both in termsof oil production and oil and gasreserve holdings. The primarybusiness of OVL is to prospectfor oil and gas acreages abroadincluding acquisition of oil andgas f i e lds , exp lo ra t i on ,development, product ion,transportation and export of oiland gas. OVL is a wholly-ownedsubsidiary of Oil and Natural GasCorporation Limited.

ONGC Videsh has activities in 16countries including Brazil,Colombia, Cuba, Iran, Iraq,Azerbaijan, Kazakhstan, Libya,Myanmar, Nigeria, Russia, SouthSudan, Sudan, Syria, Venezuelaand Vietnam.


In October 2011, ONGC Videshsigned a tripartite agreementwith the Ministry of Oil and Gasof Kazakhstan and Kazmunaigaz,the national oil company ofKazakhstan amending an E&PContract, to give effect to OVL’s25% participating interest in theSatpayev Block in the oil richnorth Caspian Sea of Kazakhstan.The potential oil resources jointlyestimated for this block is 1.8billion barrels. Oil is expected toflow by 2020.

Satpayev Exploration block islocated in a hydrocarbon prolificregion of North Caspian Sea ata water depth of 5 to 10 metres,100 km to the South Westerncoast of Kazakhstan. ONGCVidesh Limited has been pursuingexploration opportunities inKazakhstan and Satpayev blockwas identified by OVL andKazMunayGas (KMG), Nationaloil company of Kazakhstan forjoint exploration as a result ofMOU signed by both thecompanies.

ONGC Videsh

Pacific Energy DevelopmentHeadquarters4125 Blackhawk Plaza Circle,Suite 201,Danville, CA 94506

Tel: 1 (925) 271 9314Fax: 1 (925) 403 0703

Texas Office1416 Campbell Road, Building B,Ste 208Houston, TX 77055

Tel: 1 (855) 805 0805Fax: 1 (281) 962 0093

Key Personnel

Frank C. IngriselliChairman and CEO

Michael L. PetersonPresident & CFO

Dr. Y. M. ShumChief Technology Advisor &Director of Exploration

Kazakhstan

PEDEVCO Corp (Pacific EnergyDevelopment), is a publicly-traded energy company engagedin t he a cqu i s i t i on anddevelopment of strategic, highgrowth energy projects, includingshale oil and gas assets, in theUnited States. The Company'sprincipal assets include its D-JBasin asset located in Weld andMorgan Counties, Colorado, andits Mississippian asset located inComanche, Harper, Barber andKiowa Counties, Kansas. TheCompany has also previouslyannounced its entry into anagreement to acquire a 5%interest in an entity which willhold a 380,000 acre producingasset located in the Pre-CaspianBasin, one of the largestproducing basins in Kazakhstan.Pacific Energy Development isheadquartered in Danville,California, with an operationsoffice in Houston, Texas.


During the 4th quarter of 2014,PEDEVCO provided details of theirpending acquisition of a 5%interest in Caspian Energy Inc.("Caspian Energy"), a Canadianpublicly-traded company whichis in the process of acquiring a100% working interest inproduction and explorationlicenses covering an approximate380,000 acre oil and gasproducing asset located in thePre-Caspian Basin in Kazakhstan.

This Kazakhstan asset is locatedin the North Block of the Pre-Caspian Basin, one of the largestproducing basins in Kazakhstan,and is covered by an explorationlicense issued by the Republic ofKazakhstan, held by CaspianEnergy's Kazakhstan subsidiary,Aral Petroleum. Aral Petroleumcurrently has one producingoilfield in this asset, the EastZhagabulak (EZ) oilfield, whichrecently entered the commercialproduction stage with a 20 yearproduction license expiring in2034. Aral Petroleum also has

several oil prospects in the assetthat are currently in theexploration stage.

Pacific Energy Development

Partex Oil and Gas GroupRua Ivone Silva, 6 – 1º1050 – 124 LisboaPortugal

Tel:(00351) 21 791 29 00Fax: (00351) 21 793 78 88

Kazakhstan

The Partex Oil and Gas Grouphas played an instrumental rolein the development of theinternational oil and gas industrythrough its presence in thehistorical oil concessions of theMiddle East. Its founder, CalousteGulbenkian, a descendant of anillustrious Armenian family, wasa pioneer in the exploration anddevelopment of the oil fields inthe Middle East.

The Group combines its traditionalinvolvement in Abu Dhabi andOman with a successfu ldiversification of operations toother countries such as Algeria,Angola, Brazil, Kazakhstan, andPortugal.


DungaThe Partex Oil and Gas Groupbecame a partner with Oman OilCompany (OOC- a companywholly-owned by the Governmentof Oman), in the development ofa field in West Kazakhstan.

Partex Oil and Gas owned 50%working interest in the Dungaf ie ld Product ion Shar ingAgreement and was operator forthe construction, commissioningof the pilot phase operation ofthe field. In 2002, Partex andOOC decided to reduce theirparticipating interests to 20%,respectively, through a farm-outto Maersk Oil Kazakhstan Gmbh,who became the operator of thefield.

Partex Oil and Gas

Branch of PetroKazakhstanOverseas Services Inc.Kazakhstan, 050059, Almaty.Furmanov street 244a

Tel: +7-727-2581848Fax: +7-727-2581860

JSC PetroKazakhstan KumkolResourcesKazakhstan, 120014, Kyzylorda,Kazybek bi street 13

Tel: +7-72422-61053 / Fax: +7-72422-77271

Kazakhstan

PetroKazakhstan is a verticallyintegrated oil and gas groupowned by China NationalPetroleum Corporation andNational Company KazMunaiGas.PetroKazakhstan scope ofbusiness includes exploration,field development, oil and gasproduction, as well as purchasingof fields, processing and sellingof crude oil and refined products.Thanks to its integrated naturethe company’s business has a lotof opportunities to improve thequality of products and increasethe efficiency.

T h e o p e r a t i o n s o fPetroKazakhstan Group ofCompanies are based on twob u s i n e s s u n i t s : J S CPet roKazakhstan Kumko lRe s o u r c e s ( P K K R ) a n dPetroKazakhstan Oil Products LLP(PKOP). PKKR located inKyzylorda Oblast produces oil andPKOP located in the central cityof South Kazakhstan Oblast -Shymkent - refines it.

PetroKazakhstan also owns a50% share in two joint venturesoperating in the South Turgai oilbasin. The partner in JVKazgermunai TOO is E&PKazMunaiGas AO and in TurgaiPetroleum AO – LUKoil OverseasKumkol B.V.

PetroKazakhstan’s businessrepresents an integrated processchain covering activities fromexploration and production of oilup to its processing into top-quality oil products and adeveloped marketing andtransportation system.

Exploration is declared to be thefuture of the company and agenerator of its growth. AnnuallyPetroKazakhstan spends not lessthan 50 mi l l ion USD onexploration in the South Turgaibasin.

All exploration and productionactivities of PetroKazakhstan arecarried out in an 80,000 km2 area

in South Turgai basin in the southof Central Kazakhstan. Typically,p r o d u c t i v e z o n e s o fPetroKazakhstan’s fields arelocated at a relatively shallowdepth of 760 to 1,830 m, whilesome of recently drilled wellsreached productive zones at thedepth of 2,300 m to 3,550 m.O i l - b e a r i n g s t r a t a o fPetroKazakhstan’s fields haveh igh poros i ty and h ighpermeability, and contain lightlow-sulfur oil with density of 37to 44 API degrees and sulfurcontent below 0.4%. Thesefavorable conditions allowPetroKazakhstan to develop itsfields and to produce and processc rude o i l a t l ow cos t .

2014 HighlightsIn 2014, PetroKazakhstanproduced 4.883 million tonnes ofoil, which includes the 50%interests in its JVs – Kazgermunaiand Turgai-Petroleum. Totalproduction by PKKR, Kolzhan andPKVI amounted to 2.788 milliontonnes, while Turgai-Petroleumproduction was responsible for0.599 mil l ion tonnes andKazgermunai - 1.499 milliontonnes.

PetroKazakhstan

Repsol ExploracionKazakhstan S. A.Arman Business Centre6 Sary-Arka AveAstana010000Kazakhstan

Tel.: +7 7172 790364/65/66/67Fax: +7 7172 790368

Contact:Peter Dernie

REPSOL (CorporateHeadquarters)Méndez Álvaro, 4428045, Madrid (Spain)

Tel: (34) 91 75 38 100 / (34) 9175 38 000Fax: 902 303 145

Kazakhstan

Formed in 1987 by the mergerof state-controlled oil sectorcompanies, Repsol is now 100percent privatized and publiclytraded on both the Madrid andNew York stock exchanges.

Repsol, S.A. is an integrated oilcompany headquartered inMadrid, Spain. The companyengages in the exploration,development, and production ofcrude oil and natural gasworldwide. It has developmentand production assets in morethan 20 countries, including theUnited States, Brazil, Trinidadand Tobago, Venezuela, Peru,and Bolivia; and explorationassets in the United States, Brazil,and Angola, as well as in Russia.

Repsol increased averageproduction in 2014 by 2.5% to354,500 boe per day, a figurewhich includes about 32,000barrels of oil equivalent a day ofnew production from projects inBolivia, Brazil, Peru, Russia andthe United States.


Repsol has mining rights on theZhambay exploratory block,located in the Caspian Sea, closeto the border with Russia with aa 25% stake. The project partnersare the s ta te companyKazMunaiGaz (50%) and theRussian oil company Lukoil(25%).

In December 2011, Repsolconcluded an agreement withKazTransGaz, the Kazakhstanstate gas concern for the jointdevelopment of the Amangeldygas field. This follows completionof the fourth appraisal well onthe field as a producer.

Repso l reports that theAmangeldy Field will costapproximately $770 mm to fullydevelop, and this cost will beshared proportionally by the twopartners. During the first phaseof this development, Repsol will

be investing $ 80 mm andKazTransGaz $51 mm.

The Amangeldy Field is locatedonshore in Kazakhstan's Chu-Sarysu Basin. It is one of sevenfields that the partnership willdevelop. The Kazakh StateCommittee on Resourcesestimates the seven fields havecombined reserves in place ofabout 880 bn cf of natural gas.

Repsol

Roxi Petroleum KazakhstanLLC7th floor, 152a, Karasai BatyraSt.,050026, Almaty,Republic of KazakhstanTel.: + 7 727 2440920Fax: + 7 727 2440930Email: [email protected]

Contact:Duncan McDougallTechnical Director

London office4th Floor Haines House, 21 JohnStreetLondon, WC1N 2BP

Tel.: +44 8456 52 52 36Fax: +44 8456 52 52 37Email: [email protected]

Kazakhstan

Roxi Petroleum plc ("Roxi") is aKazakhstan based oil and gasexploration and productioncompany established in October2006. Roxi's main commercialrationale is to acquire controllinginterests in and develop oil andgas assets in Central Asia with afocus on Kazakhstan.


Roxi currently has interests infour exploration and productioncontract areas spread over threepetroleum basins: the pre-Casp ian bas in and theMangyshlak basin in WesternKazakhstan and the Turgai basinin Central Kazakhstan.

The assets represent a range ofmatur i ty in hydrocarbonexploitation, including establishedexploration, field appraisal,deve l opment , and f i e l drehabilitation.

Roxi works with its partners todevelop the assets towards eitherproduction or monetization andis constantly searching for valueenhancing deals that wouldmaterially enhance the portfolioin either Kazakhstan or CentralAsia.

Farm-out AgreementsIn July 2009 and March 2010,Roxi concluded significant farmout agreements with Canamens,an independent oil and gasexploration and productioncompany focused on developinghydrocarbon resources in CentralAsia, for a 20% interest inRavninnoe and a 35% interest inBNG. In December 2010 Roxiconcluded a farm out agreementwith LG International Corp, aKorean multinational tradingcompany with extensive naturalresource interests in return for a40% interest in Galaz. Inaddition, Roxi is working to

CaspianSea

AralSea

Zaisan Lake

Balkhash Lake

Munaily

BNG

Galaz

Beibars

KAZAKHSTAN

Contract Areas

Source: EKFi

ASTANA

Licence Roxi Working Interest (%) Area (sq km) Basin

BNG 58.41 1,561 Pre-CaspianGalaz 34.22 180 TurgaiMunaily 58.41 0.69 Pre-CaspianBeibars 50.00 167 Pre-Caspian

Roxi Petroleum

Kazakhstan

identify a farm-out partner forthe Beibars block.

In October 2010 Roxi sold itsentire 30% interest in Ravninnoe.

In May 2011 Canamens agreedto return to Roxi their 35%interest in BNG and assigned toRoxi US$ 24million of debt dueto them from BNG LLP. Roxiagreed to provide a 1.5% royaltypayment to Canamens based onthe gross value of any futureproduction arising from the BNGlicense area.

DiscoveryIn July 2014, Roxi Petroleumannounced a discovery at itsflagship BNG asset. The BNGContract Area is located in thewest of Kazakhstan, 40 kmssoutheast of Tengiz on the edgeof the Mangistau Oblast, coveringan area of 1,561 sq kms of which1,376 sq kms has 3D seismiccoverage acquired in 2009 and2010. Roxi has a 58.41 per centinterest in the BNG Contract Area.

Well A5, the first deep well onthe BNG Contract Area, with aplanned Total Depth of 4,700meters is targeting principallythe middle Carboniferousformation at 4,390 meters of theSouth Emba sub-basin. Roxi hasannounced that oil and gas showshave been detected at a depthof 4,332 meters.

Roxi Petroleum

Kazakhstan

Sequa Petroleum NVSixth Floor 23 Savile RowLondon W1S 2ET

Tel: +44 20 3728 4450

Jacob BroekhuijsenChief Executive Officer

Jim LukeChief Operating Officer

Peter HaynesTechnical Director

Jelte BosmaBusiness Development Director

Sequa Petroleum is an oil andgas company listed on EuronextMarché Libre which focuses ontaking discovered oil and gasreserves and resources fromappraisal through to production.

Sequa Petroleum has assembleda h i g h l y e x p e r i e n c e dmanagement team with a proventrack record and with expertisein exploration, appraisal,development and production ofoil and gas assets, both onshoreand offshore, in jurisdictionsaround the globe. SequaPetroleum is supported by astrong shareholder group whichincludes its entire seniormanagement as well as theprivately owned PrincipalInvestment holding companySapinda Holding BV. This meansthe company is well placed tosource and realise oil & gasinvestment and developmentopportunities.

Of particular interest are mid-sized discoveries that have notyet been developed for a numberof reasons, e.g. commercialisationapproach, technology applicationor lack of capital. By removingone or more of these issues,Sequa Petroleum can unlockopportunities and realise theirpotential value.

Sequa Petroleum’s init ia linvestment is in a licence inKazakhstan.

Sequa Petroleum NV is acompany registered in theNetherlands, with its principaloffice in London.


The Aksai contract area surroundsthe giant Karachaganak oil andgas field, which began productionin 1984. Following completion ofthe acquisition in February 2014,Sequa Petroleum planned anddrilled an exploration well in theAksai contract area to fulfil thework programme obligations. This

well is located 500m from thel icence boundary of theKarachaganak field.

Following acquisition and analysisof data, the well will be furtherevaluated to preserve options forfuture use. Sequa Petroleumplans to acquire additional seismicdata to aid in the evaluation ofthe well results and to furtherassess the key opportunities andoptions for the Aksai contractarea.

Sequa Petroleum

Statoil ASADrammensveien 264Vaekero0283 OsloNorway

Tel.: +47 22 97 20 00Fax: +47 51 99 00 50

Kazakhstan

Statoil ASA is a Norwegian energycompany, formed by the 2007merger of Statoil with the oil andgas division of Norsk Hydro. TheGovernment of Norway is thelargest shareholder in Statoil with67% of the shares. Theownership interest is managedby the Norwegian Ministry ofPetroleum and Energy.

Statoil is the largest operator onthe Norwegian continental shelf,with 60% of the total production.The fields operated are Brage,Heimdal, Grane, Glitne, Gullfaks,Heidrun, Huldra, Kr ist in,Kvitebjørn, Mikkel, Njord, Norne,Ormen Lange, Oseberg, Sleipner,Snorre, Snøhvit, Statfjord, Sygna,Tordis, Troll, Veslefrikk, Vigdis,Visund, Volve and Åsgard. Thecompany also has processingplants at Kolsnes, Kårstø,Mongstad, Tjeldbergodden andMelkøya.

In addition to the Norwegiancontinental shelf, Statoil operatesoil and gas fields in Algeria,Angola, Azerbaijan, Brazil,Canada, China, Iran, Libya,Nigeria, Russia, United Statesand Venezuela. Statoil has officesthat are looking for possibleventures in the countries ofEgypt, Mexico, Qatar and UnitedArab Emirates. The company hasprocessing plants in Belgium,Denmark, France and Germany.

Kazakhstan

S t a t o i l s e ek s bu s i n e s sopportunities in the North Caspianr e g i o n . S t a t o i l h a s arepresentative office in Astana,the capital of Kazakhstan.

In February 2013, Statoilannounced it was giving up onthe offshore Abai project afterthe company spent about sevenyears negotiating to startexploration.

Statoil

Sumatec Sumatec ResourcesBHDSuite 22.02, Level 22, TheGardens North TowerMid Valley City, Lingkaran SyedPutra, 59200 Kuala LumpurIndonesia

Tel: 03-2283 1368Fax: 03-2282 6368

Key personnel:

Chris DaltonChief Executive Officer

Kazakhstan

Sumatec Resources Berhad islisted on the Main Market of BursaMalaysia.

Sumatec was established in 1979as a service provider in thedownstream sector of the oil andgas industry. The Company iscurrently going through abusiness re-structuring programwhich will see it entering theupstream sector via a jointinvestment agreement withMarkmore Energy (Labuan)Limited and CaspiOilGas LLP todevelop the Rakushechnoye Oiland Gas Field in West Kazakhstan.

In addition to developing theRakushechnoye Field, Sumatecwil l continue to look foropportunities to acquire anddeve lop new and underperforming fields, with particularemphasis on onshore assets.

Rakushechnoye FieldThe Rakushechnoye field islocated in Western Kazakhstan,on the Mangyshlak Peninsula,approximately 15 kilometresinland from the Caspian Sea andapproximately 105km southeastof Aktau, a major regional center.The Rakushechnoye is withinclose proximity to exportinfrastructure; 120km to AktauPort and 60km to main oil andgas pipeline.

The company's subsidiary,Sumatec Oil & Gas LLP and itsbusiness partner, CaspiOilGasLLP, commenced rig operationson 30th April 2014. This is asignificant step in ramping up thep r o d u c t i o n f r o m t h eRakushechnoye Field. Thepreparation work for the workoverprogram started in February 2014involving improvements to theroad access and pad locationsaround each wellhead. FormationEvaluation (Wireline Logging) wasconducted to gather downholefo rmat ion and p ressureinformation which is crucial inachieving the higher productiontarget.

In July 2014, Sumatec Resourcesagreed to buy Borneo Energy OilAnd Gas in a cash and share dealworth $250 million. Sumatecsigned a framework agreementwith Borneo Energy's owners AbuTalib Abdul Rahman and MuratSafin for the purchase.

Sumatec Resources

TCO HeadquartersAtyrau, Satpayev Street, 3060011, Republic of Kazakhstan

Tel: +7 712 227 1212 / +7 712302 6000Fax: +7 712 302 6752

Representative Office010000, Republic of KazakhstanAstana, 6 Sary-arka avenue,Business center Arman, 5th floor

Tel: +7 717 255 0333Fax: +7 717 279 0379

Kazakhstan

Sumatec Resources Berhad islisted on the Main Market of BursaMalaysia.

Sumatec was established in 1979as a service provider in thedownstream sector of the oil andgas industry. The Company iscurrently going through abusiness re-structuring programwhich will see it entering theupstream sector via a jointinvestment agreement withMarkmore Energy (Labuan)Limited and CaspiOilGas LLP todevelop the Rakushechnoye Oiland Gas Field in West Kazakhstan.

In addition to developing theRakushechnoye Field, Sumatecwil l continue to look foropportunities to acquire anddeve lop new and underperforming fields, with particularemphasis on onshore assets.

3Q 2014 Highlights

Production & ReservesTotal recoverable crude oil in theTengiz and Korolev fields isestimated to be 750 million to1.1 billion metric tonnes (6 to 9billion barrels). Estimated oil inplace in the Tengiz field is 3 billionmetric tonnes (26 billion barrels)with 190 million metric tonnes(1.5 billion barrels) in the Korolevfield. The circumference of theTengiz reservoir is large,measuring 20 kilometers (12miles) by 21 kilometers (13miles).

TCO completed its Sour GasInjection and Second GenerationPlant expansion project in thethird quarter of 2008, whichbrought daily production capacityto approximately 75,000 metrictonnes (600,000 barrels) of crudeoil and 22 million cubic meters(750 mscf) of natural gas.

Crude ProductionCrude production for 3Q 2014was 19.8 million metric tonnes(158 million barrels).

TCO exports crude oil through avariety of transportation routes.TCO exported crude oil via theCPC pipeline to Novorossiysk, viarail to Odessa and Taman, as wellas to Aktau, then further toBatumi and Kulevi.

Product SalesTCO sold 950 thousand metrictonnes of LPG and 5.1 billioncubic meters of dry gas.

TCO sold 2.8 million metrictonnes of sulfur, which is 165percent of the 1.7 million metrictonnes produced for the sameperiod. TCO’s sales success hasresulted in the reduction ofvolumes of sulfur stored in Tengizinventory to less than 580thousand tonnes as of September30, 2014.

TCO’s premium sulfur is sold infour different forms to customersin many countries, includingKazakhstan, Russia, Ukraine,China and other countriesprimarily in the Mediterraneanand Central Asia regions.

Tengizchevroil

SHARGYRLY-SHOMYSHTYGAS FIELD

KyzyloiProductionContract

AkkulkaExploration

Contract

Asia

C entral GasPipeline

Bukhara UralsPipeline

BozoiGas Storage

VosrozhdeniyaIsland

A r a l S e a

Bozoi

KAZAKHSTAN

UZBEKISTAN

Kms0 60

Kul-Bas Exploration& Production Contract

Principal Kazakhstan OfficeTethys Services KazakhstanLLPB.C. "Old Square"98 Panfilov Street, Offices 707-710050000 Almaty, Kazakhstan

Tel: +7 727 244 6923/4/5Fax: +7 727 244 6926

Canadian Office130 King St. West, Suite 1800Toronto, OntarioM5X 1E3, Canada

Tel: +1 416 941 1257Fax: +1 416 947 0167

Kazakhstan

Tethys Petroleum Limited is anoil and gas exploration andproduction company currentlyfocused on Central Asia withprojects in Kazakhstan, Tajikistanand Uzbekistan. It is the onlyindependent oil and gas companyoperating in all three Republics.

Tethys Petroleum is a publiccompany with its primary listingon the main board of the TorontoStock Exchange ("TSX") - theworld's largest exchange for oiland gas companies, and asecondary listing on the mainmarket of the London StockExchange (LSE). The Companyis also listed on the KazakhstanStock Exchange ("KASE") inAlmaty.


I n Ka z akh s t an , Te t hy sPetroleum's acreage is located in

the northern part of the Ustyurtbasin, a triangular shapedgeological basin which lies justto the west of the Aral Sea, andwith its deepest parts being justsouth of the Company's acreage. It is adjacent to and was in thepast an extension of the prolificPre-Caspian basin which containssupergiant oilfields such asTengiz. The Company's geologicalmodel for the area predicted thatthere may be a mature sourcerock in the east of the basin withmigration of oil into structureson the basin flanks. Despite someexploration in the past, nocommercial oil had ever beendiscovered, and the Company'sDoris exploration oil discovery isit believes the first oil discoveryin the whole of this area beingseveral hundred kilometers fromthe nearest oilfield. As such, theCompany's geological modelappears to have been correct and

Tethys Project Area

Tethys Petroleum

Source: EKF

Kazakhstan

this opens up additional potentialin the Company's acreage in thearea.

At a Glance• Significant Doris exploration

oil discovery currently producing approximately 3,200bopd from three wells

• Active oil and gas explorationand appraisal programme on Akkulka and Kul-Bas

• Substantial acreage position inunderexplored North Ustyurt basin adjacent to the prolific Pre-Caspian basin

• Co-own the Aral Oil Terminal (“AOT”), an oil rail-loading terminal with a local partner to more efficiently transport Doris oil and increase oil production

• One of the first privately fundedand operated dry gas developments in Kazakhstan

• A first non-state tie-in into major transcontinental gas export system

• Well trained local operations team

• Proven track record of greenfield developments in challenging and remote desert environment

• In November 2013, Tethys sold50% of Kazakh assets to a Beijing private equity fund – received US$75 million plus success bonuses

Tethys Petroleum's subsidiarycompanies in Kazakhstan haveoffices in Almaty (main office),Astana (government relations),Aktobe (operations office) andBozoi (field office).

Kyzyloi Gas ContractIn June 2014, Tethys Petroleumconfirmed that it has receivedapproval from the Ministry of Oil& Gas of the Republic ofKazakhstan ('MOG') for theextension its Kyzyloi ProductionContract for a further 15 yearsto June 2029.

The Contract Area currentlycovers some 287 km2 (70,918

acres), and the Company iscurrently producing gas from theshallow Kyzyloi sandstone in thisarea. This Contract extension willgive Tethys significantly moretime to produce natural gas fromthis attractive area.

Tethys Petroleum

Kazakhstan

With operations in more than 130countries, Total engages in allaspects of the petroleum industry,including Upstream operations(oi l and gas exploration,development and production,LNG) and Downstream operations(refining, marketing and thetrading and shipping of crude oiland petroleum products).

The company's reserves arelocated in Europe (mainly inNorway and the United Kingdom),in Africa (mainly in Angola,Gabon, Libya, Nigeria and theRepublic of the Congo), in theAmericas (mainly in Canada, theUnited States, Argentina, andVenezuela), in the Middle East(mainly in Oman, Qatar, theUnited Arab Emirates, andYemen), and in Asia (mainly inIndonesia and Kazakhstan).


Since 1992, Total has beenpresent in Kazakhstan with thecompany’s 16.8% stake in theNorth Caspian permit, whichincludes the giant Kashagan fieldoperated by the North CaspianOperating Company (NCOC).

Kazakhstan is also an integralpar t o f Tota l ’s dynamicexploration strategy: additionalexploration projects are currentlyunder review.

KashaganTotal is a leading player in theNorth Caspian O p e r a t i n gCompany (NCOC), operator of the PSA that includes theKashagan oil field. T h efield, located 75 km offshore inthe shallow watersof the northern Caspian Sea, is one of the largestdiscoveries of the past 40years. The development of Phase1, which will produce light oiltogether with H2S (15%), beganin early 2004. All phasescombined are expected toproduce a plateau of 1.5Mb/d.

In March 2010, Total announcedan agreement to acquire a 50%interest in Kazakhstan ’sC o n c e s s i o n h e l d b yOilTechnoGroup (OTG), theKazakh subsidiary of Poland’sPetrolinvest. The roughly 5,500-square-kilometre onshore licensepresently being explored is

TOTAL S.A.Head Office2, place Jean MillierLa Défense 692400 CourbevoieFrance

Tel. : +33 (0) 1 47 44 45 46

Europe1,436 MboeMiddle East1,601 MboeAsia-CIS3,791 MboeAmericas2,124 MboeAfrica2,571 Mboe

2014 Proved reserves bygeographical area: 11,523MBOE

CaspianSea

AralSea

Zaisan Lake

Balkhash Lake

KAZAKHSTAN

Tullow operations in Kazakstan Source: EKF

Kashagan

OTG concession

Total

Kazakhstan

l ocated in nor thwesternKazakhstan.

In November 2012, Total acquireda 75% in teres t in twoKazakhstan’s Concessions, the“North” and “South” blocks,previously operated by KazakhCompany Nurmunai Petrogas LLP.These two onshore blocks coveran area of approximately 14,500square kilometers and are locatedin southwestern Kazakhstan.

2014 HighlightsFirst phase production fromKashagan (300 kb/d) started inSeptember 2013 and was haltedin October 2013 due to leaksdetected on the gas exportpipeline. Following investigationscarried out by the consortium, arefurbishment plan for thepipelines was approved. The twooil and gas export pipelines willbe replaced over 99 km.

In February 2015, TOTAL sold23.9% of its 75% interest in theNorthern and Southern Nurmunaionshore exploration Blocks,located in the southwest of thecountry. The drilling of a wellstarted at the end of February2015 on Northern NurmunaiBlock.

Total

Kazakhstan

TPAO, national oil company ofthe Republ i c o f Turkey,headquartered in Ankara, wasfounded in 1954 and isresponsible for hydrocarbonexploration, drilling, productionand marketing activities. It hasnow three compounds in Turkeywhich are located in Batman,Adiyaman and Thrace, withapproximately 5,000 staff andforeign branches in six countries.With 60 years` experience in thehydrocarbon field, TPAO has beencontinuing to develop businessopportunities in hydrocarbon-richregions such as Caspian Region,Russian Federation, Middle East,Africa and Latin America. Inaddition to upstream projects,TPAO is also engaged in naturalgas storage, pipeline projects andoil distribution.

InternationalTPAO conducts its internationalactivities especially in the CaspianRegion (Azerbaijan, Kazakhstan),North Africa (Libya) and Iraq.TPAO has been continuing tonego t i a t e f o r bu s i n e s so p p o r t u n i t i e s i n o t h e rhydrocarbon rich regions such asSouth America, Russia and MiddleEast.


TPAO conducts its activities inKazakhstan through a jointv e n t u r e c o m p a n y ,KazakhTurkMunai (KTM) Ltd. inwhich TPAO holds a 49% shareand KazMunaiGas has 51%.

In 2012, average production ofKTM Ltd. was 1,693 barrels/dayin Aktau Region and 3,044barrels/day in Aktubinsk Regionwith a total number of 4,737barrels/day. In the same year,the annual crude oil productionof our Corporation is 920thousand barrels while thecumulative number of crude oilproduction is 17.62 millionbarrels.

Arbitration case was filed againstKazakhstan State by TP becauseof the tax law which becameeffective in 2009 and relateddevelopments. An agreement wasreached with Kazakhstan State.TP transferred it shares in KTMto KazMunayGaz (KMG) with thedeed of transfer signed on 21September 2014. By ICSIDdecision and in accordance withshare agreement dated 30 June2014, TP’s rights and liabilitiesrelated to KTM activities wereterminated as of 1 January 2014.

Türkiye Petrolleri A.O.Sögütözü Mahallesi, 2180. CaddeNo: 86 06100 ÇankayaAnkara / TÜRKIYE

Tel: (0312) 207 20 00Fax: (0312) 286 90 00

Libya

Colombia

TurkeyAzerbaijan

KazakhstanIraq

TPAO global operations

TPAO

Kazakhstan

CJSC Turgai Petroleum is a jointventure of Open Joint StockCompany Oil company LUKOILand PetroKazakhstan Inc.

Turgai Petroleum was establishedAugust 22, 1995 as a Joint-StockCompany "Kumkol-Lukoil", whichstarted commercial developmentof the contract territory of Kumkolin January 1996.

The company’s main activitiesare: Exploration, developmentand exploitation of hydrocarbondepos i ts , t ransportat ion,processing and marketing of rawmaterials and by-products.

Turgai PetroleumMailing address:Republic of Kazakhstan, 120008,Kyzylorda, st. Sh Esenova House,1A

Tel.: (+7 7242) 12.26.26, 27-89-36, 27-81-41Fax: +7 (7242) 26-13-93Email: [email protected]

Contact:Kayrzhan EsenGeneral manager

Altynbek Sagit AydarhanovichExecutive director

Turgai Petroleum

Kazakhstan

Vitol has been building itsupstream oil and gas businessfor almost 20 years. Today, thecompany have a diversifiedportfolio of exploration, appraisal,development and productionassets in the Former Soviet Union(FSU) and West Africa.

Operated production is currentlyin excess of 8,000 barrels of oilper day (bopd) and has been ashigh as 36,000 bopd and provedplus probable (2P) reserves anddiscovered resources in excessof 200 million barrels of oilequivalent. Although Vitol alreadyhold a large portfol io ofdiscovered but undeveloped oiland gas resources and a materialexploration inventory, they arecontinuously seeking othergrowth opportunities both withintheir current core areas of WestAfrica and the FSU and morebroadly in Africa and elsewhere.Most recently Vitol have identifiedLatin America as a region in whichto expand their upstream portfolioand are actively pursuingopportunities there.

The Vitol Group is now positionedas a fully integrated energysupplier along the entire valuechain – from production at thewellhead to power solutions.

The company's assets in the FSUare managed by Vitol’s subsidiary,Arawak Energy, which providesall of Vitol's production and is anestablished and trusted operatorof onshore fields in Russia,Kazakhstan and Azerbaijan. Thecompany's other upstream unit,Vitol Exploration and Production(Vitol E&P), focuses on offshoreexploration and development inWest Africa.


Arawak Energy currently ownsone produc ing b lock inKazakhstan. This block is locatedin the west of the country in thePre-Caspian Basin, which isranked among the world’s most

prolific basins. Here, there aretwo principal play types, thesubsalt and the suprasalt.Hydrocarbon exploration hasbeen active in the suprasalt sincethe 1900s whi le subsaltexploration began in the 1970s.

Between 2005, when ArawakEnergy entered Kazakhstan, and2010, annual net productionincreased from 968,889 barrelsof oil to 3.502 million barrels in2010, a compound annual growthrate (CAGR) of 24%. Includingwork on exploration blocks, thecompany acquired a total of 1,300km of 2D and 130 sq km of 3Dseismic data and drilled 78exploration and appraisal wellswith a sustained success rate of63%.

In 2011 Arawak sold its wholly-owned subsidiary Altius, ownerof the Akzhar, Besbolek,Karataikyz and Alimbai licencesand received final governmentapproval for the acquisition ofMaersk Oil’s 60% interest in theSaigak field, thereby becoming100% owners of this licence andoperators of the field.

Almaty Representative Office13 Al-FarabiNurly Tau 2 "V"6th Floor, 601Almaty 050059Kazakhstan

Tel: (7 727) 311 1099Fax: (7 727) 311 1109

Vitol S.A.Boulevard du Pont d’Arve 28CH 1205 GenevaP.O. Box 3841211 Geneva 4Switzerland

Tel: (41 22) 322 1111Fax: (41 22) 781 6611

Vitol

Kazakhstan

Max Petroleum initiatesprocess to protect thesolvency of its Kazakhsubsidiary SamekJuly 2015

Max Petroleum announced thatin order to protect the solvencyof Samek International, a whollyowned indirect subsidiary of theCompany, the Board has initiateda rehabilitation process underKazakh law.

Rehabilitation has similarities toa C o m p a n y Vo l u n t a r yArrangement ('CVA') processunder English law and the mainpurposes of the Rehabilitationare:

1. to provide protection againstcreditor claims during the entireperiod when Samek is within theRehabilitation process; and2. to reach agreement withcreditors of Samek on a fixedtimetable for payment of amountsowing to all creditors.

The Rehabilitation, if approvedby a competent court, will involvea moratorium on creditors' claims,cessation of accrual of penaltiesand interest on any outstandingdebts, as well as suspension ofexecution of any court and arbitraljudgements. Within three monthsof the court decision to start theRehabilitation, a rehabilitationplan, to be agreed betweenSamek and its creditors, must beapproved by a creditors' meeting.The rehabilitation plan must setout a fixed timetable for paymentof amounts owing to all creditorsand Samek will need to adhereto this plan until the completionof the rehabilitation procedure.While non-ordinary coursetransactions will in most casesneed creditors' approval, theRehabilitation generally does notprevent Samek from carrying outits business in the ordinarycourse.

Eni and KazMunayGasagree to jointly explorethe Isatay offshoreblockJune 2015

KazMunayGas and Eni finalizedan agreement that defines thecommercial terms of the transferto Eni of 50% of the subsoil userights in the Isatay block locatedin the Kazakh Caspian Sea. Theblock will be operated by a jointoperating company establishedby KMG and Eni on a 50/50 basis.

The Chairman of KazMunayGas’(KMG) Management Board, SauatMynbayev, and Eni’s CEO, ClaudioDescalzi, finalized on Saturday,in the presence of the Presidentof the Republic of Kazakhstan,Nursultan Nazarbayev, and theItalian Prime Minister, MatteoRenzi, an agreement that definesthe commercial terms of thetransfer to Eni of 50% of thesubsoil use rights in the Isatayblock located in the Caspian Sea.

The Isatay block is estimated tohave significant potential oilresources and will be operatedby a joint operating companyestablished by KMG and Eni ona 50/50 basis. The joint operatingcompany will benefit from Eni’sproprietary technology, industry-leading track record in explorationand extensive experience in theenvironmentally and technicallychallenging conditions of theCaspian Sea shelf.

The agreement signals thesuccessful completion by KMG ofthe requisite procedures underKazakh laws to acquire subsoiluse rights in the Isatay block andthe finalization of relatedcommercial agreements, whichwill result in the transfer to Eniof 50% of the subsoil use rightsand regulate the performance ofthe joint operations. The transferis expected to be completedwithin a few months subject tothe approval of the transactionby the Republic of Kazakhstan.

The terms of Eni’s participationin the Isatay block were signedlast year in June as part of astrategic agreement between Eniand KMG which also involves thejoint development of a shipyardproject in Kuryk, located on theCaspian Sea coast of theMangystau region.

Th i s ag reement fu r the rstrengthens Eni’s presence in theRepublic of Kazakhstan, where itco-operates the Karachaganakfield and is equity partner inseveral fields in the north CaspianSea, including the giant Kashaganfield.

CGG and Air Controlannounce partnershipfor airborne geophysicsMay 2015

CGG and Air Control haveannounced the signing of anagreement to provide airbornegeophysical survey services inKazakhstan.

This agreement will allow AirControl to offer the full suite ofCGG airborne geophysicaltechnologies for subsurfaceexploration to oil & gas andmining clients in Kazakhstan. AirControl performs flight inspectionservices at all of Kazakhstan’sairports, offers aerial imageryand terrain elevation data usingthe latest laser scannerequipment and provides technicaland management support tovarious aviation operators.

CompactGTL andKazakOil Aktobe agreegas contract for firstcommercial plantMarch 2015

CompactGTL is pleased toannounce that it has signed anagreement with KazakOil Aktobefor the supply of gas for its firstcommercial gas to liquids (GTL)

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Kazakhstan

plant in Kazakhstan. KazakOilAktobe, a joint venture companybetween Lukoil, KazMunaiGasand Sinopec, and CompactGTLhave successfully negotiated andagreed all of the commercialterms for the contract which hasnow been submitted to therespective shareholder boardsfor approval.

The CompactGTL plant will belocated in the Aktobe region ofKazakhstan and will take gas thatwould otherwise have been flaredand convert it into syntheticdiesel. Engineering is welladvanced and the plant isscheduled to be operationalduring 2018.

This announcement follows thesigning of a breakthroughmemorandum with the Ministryof Oil and Gas of the Republic ofKazakhstan in March 2014 fordevelopment of the world’s firstsmall scale GTL plant. This latestdeve lopment i s anothers ign i f i cant mi les tone inintroducing CompactGTL’s newand innovative technology intothe region to address the issueof gas flaring and to produce fuelfor local consumption.

Kazakhstan offers considerablepotential for CompactGTL’sp roven sma l l - s ca le GTLtechnology. The country is amajor producer of oil and is alsoone of the leaders globally inseeking to use new technologyto bring environmental benefitsto the country. The new GTL plantwill contribute to PresidentNazarbayev’s “Kazakhstan 2050Strategy”, which aims to generatenew sources of economic growth,by creating a local hightechnology industry thatprocesses associated gas toproduce fue l s fo r l oca lconsumption.

The agreement was signed at the3rd Caspian Corridor Conferenceat the European Bank forReconstruction and Development

(EBRD) in London, and thesigning ceremony was overseenby CompactGTL Chairman Dr.Tony Hayward.

CompactGTL Chief ExecutiveOfficer, Edmund Buckley, said“This is a major milestone forCompactGTL. The agreement isa key step towards thecommercial isation of thisgroundbreaking project, anddemonstrates industry confidencein CompactGTL’s technology andpeople. We look forward tocontinuing to work alongside ourpartners in Kazakhstan to deliverthe world’s first small scale GTLplant.”

Max Petroleumannounces Kazakhstanreserves updateJanuary 2015

Max Petroleum has announcedGroup reserves as at 30September 2014 as estimated byits Competent Person, RyderScott Company LLC ('RSC'). Thereserves reflect drilling results,forward oil pricing and othertechnical information as at thatdate, including the results fromfour wells drilled during the sixmonth per iod ended 30September 2014, and arepresented in the table below.

As at 30 September 2014, RSCestimated that the Group had 9.9million barrels of oil equivalent('mmboe') in proved and probable('2P') reserves. This is an increaseof 4% from 9.5 mmboe as at 31March 2014.

RSC estimated that the Group'stotal proved, probable andpossible ('3P') reserves increasedby 4% to 10.8 mmboe as at 30September 2014 from total 3Preserves of 10.4 mmboe as at31 March 2014.

Tethys Petroleumawarded AkkulkaExploration ContractextensionJanuary 2015

Tethys Petroleum announced thatits whol ly owned Kazakhsubsidiary, TethysAralGaz, hasreceived permission from theMinistry of Energy of the Republicof Kazakhstan to extend theAkkulka Exploration Contract foranother four years, from March10, 2015 to March 10, 2019(subject to certain routineamendments to the Contract).This is the first time the Companyhas received a four-yearextension as historical extensionshave been for two-year periods.

The Ministry of Energy hasprovided this extension to allowthe Company to fully assess theacreage. In addition, the currentoil production from the 'Doris' oilfield is produced under thiscontract and this extension allowsfor this to continue for the four-year period.

Tethys Petroleum signs2015 gas sales contractJanuary 2015

Tethys Petroleum has announcedthat TethysAralGas, its 100%owned Kazakhstan subsidiary,has signed a gas sales contractfor 2015 gas production.

New gas contract signed• 42% increase over current

price of US$53/MCM to US$75/MCM

• 100 million cubic metres undercontract

• Option to sell additional 110 million cubic metres at potentially higher prices

A one-year gas supply contracthas been signed at a price ofUS$75/mcm (US$2.12 per 1,000cubic feet) net of marketing anddistribution costs effective

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Kazakhstan

January 1, 2015 representing a42% increase over the currentrealised gas price. This price hasbeen realised despite falling oiland gas prices in Central Asiadue to the impact of the fall inworldwide prices (Henry Hub spotpr ice has fal len 30% to$108/mcm since December 1st,2014). The achievement of thehigher gas prices reflects theCompany's view that despitethese recent influences, thegeneral direction of gas prices ison an upward trend due to theincreasing demand from Chinaas it moves from a coal basedeconomy to utilising more gas.The Company believes that oncegas shipments commence toChina through the already builtgas pipeline, it may achievefurther increases in pricing sometime in 2015.The gas supply contract has beensigned between TethysAralGasLLP and KazTransGas JSC "KTG"),for the Kyzyloi and Akkulkanatural gas fields. KTG is thenational State appointed gasoperator under Kazakhstan gaslaw and any domestic sales ofgas are effectively made throughthis state body. TAG will have theability to export gas to China andother export markets once thisoption becomes available.

The gas supply contract is forannual volumes up to 100 millioncubic meters at the increased netprice of US$75 per 1,000 cubicmetres (US$2.12 per 1,000 cubicfeet) net of marketing anddistribution costs, and runsthrough to December 31, 2015.KTG has agreed that it will takeany additional gas produced upto a total annual volume of 210million cubic metres, but thestructure of the contract alsoallows TAG to sell this additionalgas outside of the contract shouldhigher prices be achieved at alater date. This additionalflexibility provides a significantadvantage over the currentcontract under which all gas wascommitted for the whole year.

It should be noted that the priceshave been agreed in KazakhTenge as all sales contracts inKazakhstan are signed with theprices set in National Currency.Due to concerns of a possibledevaluation in the Tenge in 2015it was agreed that in the case ofa devaluation by more than 10%,the Parties shall agree to meetwithin 10 working days and tryto renegotiate the price of gas.This is the first time the Companyhas managed to include this typeof clause which is a significantimprovement on the current gascontract whereby there was nopotential resolution when theTenge devalued in 2014 resultingin a lower realized USD price forthe Company at that time.

The Prime Minister ofKazakhstan meets EniCEO Claudio DescalziDecember 2014

The Prime Minister of Kazakhstan,Karim Massimov, and the Ministerof Energy, Vladimir Shkolnik, metEni’s CEO Claudio Descalzi todayin Astana.

In the meeting, Claudio Descalziillustrated the positive progressof Eni’s activities in Kazakhstan,with a particular focus on theprojects for the Kashagan andKarachaganak fields, and Eni’spartnership with State OilCompany KazMunaiGaz, both forthe Isatay offshore explorationarea and the shipyard project inMangystau Region.

Claudio Descalzi also commentedon the recent agreement betweenthe government of Kazakhstanand the Kashagan partners, whichresolved a number of operational,financial, and ecological matters.“This agreement provides furthermomentum to achieve theearliest safe restart of Kashaganproduction and reinforces ourstrategic decision to continueinvesting in Kazakhstan, acountry with supergiant oil and

gas fields and a positiveinvestment climate. These factorsare particularly relevant in thecurrent volatile market, whichrequires our industry to beincreasingly selective in thecapital investment programs.‘Eni has been present inKazakhstan since 1992, where iti s c o - o p e ra t o r o f t h eKarachaganak f i e ld andparticipates in the North CaspianSea PSA consortium, responsiblefor the operations related to theKashagan field.

Max Petroleumannounces conclusion offormal sale processDecember 2014

Max Petroleum announced that,following the General Meetingheld earlier today (Monday) atwhich all the resolutions relatingto the proposed £37.1 millionSubscription by AGR Energy wereduly passed, the review ofstrategic options and the formalsale process announced on 22July 2014 has now beenconcluded and, as such, theCompany is no longer in an offerperiod for the purposes of theTakeover Code.

Kazakh oil output to risewith Kashagan after2020October 2014

Kazakhstan expects annual oiloutput to reach as high as 100million tonnes after 2020 whenthe giant Kashagan oilfieldresumes pumping, a seniorenergy official said, comparedwith less than 82 million this year.

Kazakhstan, already the second-largest oil producer after Russiaamong the former Soviet states,aims to produce 90 million to 100million tonnes of oil starting inthe third decade of this century,Kazakh Deputy Energy Minister

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Kazakhstan

Magzum Mirzagaliyev told Reuterson the sidelines of an energyconference on Wednesday. 'Weare talking about the period after2020 when Kashagan ' sproduction stabilises,' he said.

The Kazakh government expectsoutput to total 81.8 million tonnesthis year and next. Kazakhstanproduced 81.7 million tonnes in2013. For January to September,output fell to 60 million tonnesfrom 60.5 million in the sameperiod of 2013, official data show.

Production at the Kashaganreservoir, the world's biggest oilfind in recent times, started inSeptember last year but washalted just a few weeks later afterthe discovery of gas leaks in thepipeline network of the $50 billionproject. Replacing the pipelinesat the oilfield, which lies in theCaspian Sea off westernKazakhstan, will cost another$1.6 billion to $3.6 billion, theKazakh Energy Ministry said in adocument obtained by Reutersthis month.

Mirzagaliyev confirmed earlierofficial estimates that Kashagan'sproduction could restart in thesecond half of 2016. He saidKazakhstan also hoped to boostproduction at the Tengiz oilfield,developed by a Chevron-ledconsortium, by 12 million tonnesto around 38 million tonnes by2019-20. This month Kazakhstangave the go-ahead to anexpansion project at Tengiz, thenation's biggest oil producer todate, despite higher costs thanoriginally estimated.The expansion project at Tengizhad originally been estimated tocost $23 billion. But due to higherprices charged for services, pipesand various equipment, the pricetag has now risen to around $40billion, Kazakh Energy MinisterVladimir Shkolnik said at the time.

Source: Reuters

Roxi Petroleum providesfurther update on thedeep discovery at BNGSeptember 2014

Roxi Petroleum provided a furtherupdate on the deep discovery atits flagship BNG asset. The BNGContract Area is located in thewest of Kazakhstan 40 kmssoutheast of Tengiz on the edgeof the Mangistau Oblast, coveringan area of 1,561 sq kms of which1,376 sq kms has 3D seismiccoverage acquired in 2009 and2010. Roxi has a 58.41 per centinterest in the BNG Contract Area.

Deep Well A5On 19 August 2014 Roxiannounced that the thickness ofthe gross oil-bearing intervalcommencing at 4,332 meters wasat least 51 meters and that Roxiwould continue to determine thefull extent of the interval bydrilling and logging rather thantaking additional core samples.Roxi is pleased to announce thatbased on additional drilling andmud logging conducted since 19August 2014 the thickness of thegross oil-bearing interval is nowat least 105 meters, between4,332 meters and 4,437 meters.

For safety reasons related tod i f f e r en t p r e s su r e andtemperature conditions at lowerdepths Roxi has decided tocomplete the well at 4,442meters. Once the well has beencompleted after running andsetting 114 mm liner flow testingwill commence.

Roxi's next deep well, A6, isplanned to allow targeting oflevels below 4,437 meters.Further announcements on theprogress of A5 will be made indue course.

C l i ve Ca rve r, Cha i rmancommented, 'The 105 metersgross interval is an excellentoutcome. How far further theinterval extends will be foranother time to determine. More

than ever we look forward to theresults of the flow test.'

Kazakhstan createsgiant energy ministry aseconomy faltersAugust 2014

Kazakhstan has created a newsuper size energy ministry as itseconomy suffers from theshutdown of a giant oilfield andthe collapse of exports to Ukraineand sanctions-hit Russia.President Nursultan Nazarbayevon Wednesday appointed 65-year-old close ally VladimirShkolnik, a two times formerenergy minister, to head theformer oil and gas ministrycombined with the industry andnew technologies ministry andthe environmental protectionministry.

'Generally speaking, our energysector is in disarray,' Nazarbayevtold a government meeting. 'Itis hard to understand, why onegovernment body must beresponsible for oil and gas, whileanother one deals with solidenergy resources, the thirddepartment controls the powergrid and the fourth one thenuclear industry,' said the 74-year-old former steel workerwhose word is final in Kazakhstan.'This is why I believe it is timeto concentrate the entire energysector in the hands of oneperson.'

Until Wednesday, Shkolnik wasin charge of national uraniumcompany Kaza t omprom.Kazakhstan is the world's largestproducer of uranium. It is alsoCentral Asia's largest economyand the second-largest ex-Sovietoil producer after Russia.Economic growth accelerated to6 percent last year after a 5-percent rise in 2012. But thisyear's growth is likely to be sloweras oil production will remainstagnant due to halted output at

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Kazakhstan

the Kashagan oilfield, the world'sbiggest oil find of recent time,and because of economicslowdown in close trade partnerRussia due to several rounds ofU.S. and European Unionsanctions imposed on Moscowover Ukraine.

Kazakhstan's central bankdevalued the national tengecurrency by 19 percent inFebruary to ease speculativepressure on the domestic foreignexchange market, supportexporters of oil and industrialmetals and sustain economicgrowth. Economy and BudgetPlanning Minister YerbolatDosayev told the governmentmeeting, however, that due toWestern sanctions imposed onRussia, Kazakhstan's exportsthere had fallen by 21.7 percentin January-May year-on-year.Exports to Ukraine shrank by31.1 percent in the same period.

Kazakhstan will also struggle thisyear to maintain its oil output atthe 2013 level of 81.7 milliontonnes, while the offshoreKashagan field stands idle, seniorgovernment officials have said.Kashagan started up lastSeptember but was halted inOctober after gas leaks in itspipelines. Production there maynow resume in the first half of2016 at the earliest.

Dosayev said industrial outputdecreased by 0.4 percent year-on-year in the first half of 2014,while gross domestic productgrew by 3.9 percent. Thegovernment had originallytargeted GDP growth at 6 percentthis year. He said the governmenthoped that internal consumptionand growing internal investmentwould help sustain growth thisyear.

The presidents of Russia,Kazakhstan and Belarus havesigned a treaty creating a tradingbloc which they hope willchallenge the economic might of

the United States, the EuropeanUnion and China. The treatyforging the Eurasian EconomicUnion will come into force on Jan.1. Dosayev told Nazarbayev thatthe government would presentin September a detailed plan tocounter the negative impact ofsanctions imposed on Russia. Hedid not elaborate.

Nazarbayev said that Oil and GasMinister Uzakbai Karabalin wouldnow serve as Shkolnik's firstdeputy in the new ministry.Environmental Protection MinisterNurlan Kapparov will now headKazatomprom, Nazarbayev said.

Malaysia's Sumatec tobuy Borneo Energy for$250 millionJuly 2014

Malaysian upstream oil and gascompany Sumatec Resources hasagreed to buy Borneo Energy OilAnd Gas in a cash and share dealworth $250 million, Sumatec saidon Friday. Sumatec signed aframework agreement withBorneo Energy's owners Abu TalibAbdul Rahman and Murat Safinfor the purchase. Borneo Energyowns Kazahk upstream oil andgas firm Buzachi Neft, accordingto a local stock exchange filing.

Buzachi has two 25-yearcontracts, valid until November2026, to explore for and produceoil and gas in KaraturunVostochnyi and Karaturun Morskoifields, the filing showed. 'Sincethe f ields are already inproduction, the proposedacquisition is expected toimmediately contribute to therevenue of the company,'Sumatec said in the filing.

The fields, which are located inshallow water (1–2 metres deep),are located approx. 277 kms tothe northeast from Aktau city inthe northern part of theMangistau Region, Kazakhstan.

The fields comprise 26 wells, ofwhich five are in production. Theadditional reserves in the fieldswill provide stable recurringincome to the company, saidSumatec. The fields have beenproducing between 400 and 600barrels of oil per day, it added.

Sumatec counts Ahmad JohariRazak, younger brother toMalaysian Prime Minister NajibRazak, as an independent non-executive director.

Roxi Petroleumannounces discovery atits flagship BNG assetJuly 2014

Roxi Petroleum, the Central Asianoil and gas company with a focuson Kazakhstan, has announceda discovery at its flagship BNGasset. The BNG Contract Area islocated in the west of Kazakhstan,40 kms southeast of Tengiz onthe edge of the Mangistau Oblast,covering an area of 1,561 sq kmsof which 1,376 sq kms has 3Dseismic coverage acquired in2009 and 2010. Roxi has a 58.41per cent interest in the BNGContract Area.

Deep Well A5Well A5, the first deep well onthe BNG Contract Area, with aplanned Total Depth of 4,700meters is targeting principallythe middle Carboniferousformation at 4,390 meters of theSouth Emba sub-basin. Roxi hasannounced that oil and gas showshave been detected at a depthof 4,332 meters. After thecompletion of clean-up work todeal with the oil and gas showsencountered, core samples willbe taken to determine the oilbearing horizon.

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Oil & Gas Country Review - Russia Miningreports.russiamining.com/Kazakhstan.pdf · 2003 to 1.6 Tcf in 2012. Reinjected natural gas has accounted for most of the increase in gross