Petrofac Signs Memorandum of Understanding with KMG EP of Kazakhstan

Petrofac announces that it has signed a Memorandum of Understanding (“MOU”) with KazMunaiGas Exploration Production JSC (“KMG EP”) of Kazakhstan.

The MOU allows the parties to explore opportunities to improve the efficiency of oil production and increase production from the mature Emba fields of KMG EP’s 100% subsidiary EmbaMunaiGas JSC (“EMG”).

Under the terms of the MOU, Petrofac intends to evaluate the Emba fields and to submit an offer for the long term improvement of the management and production in selected Emba fields in order to progress a potential Production Enhancement Contract.

Abat Nurseitov, Chief Executive Officer of KMG EP, commented: “The key objectives of KMG EP today are growth of consolidated production volume and replenishment and increase of oil and gas reserves at our core assets. We hope that our partnership with Petrofac will allow us to accomplish optimization of production and improve oil recovery in EMG mature fields.”

Andy Inglis, Chief Executive of Petrofac Integrated Energy Services, commented: “We are delighted to be forging what we anticipate will be a long-term relationship with KMG EP and EMG which will allow us to provide capability and performance-enhancing management for their mature fields in what is a strategically important region for us.”

Petrofac’s Engineering, Construction, Operations and Maintenance business has been active in Kazakhstan for almost a decade and has successfully delivered a number of projects in the country.