The financial results of Kazakhstan’s JSC National Company “KazMunaiGas” for 2008 were announced on February 24, 2009. The company has achieved positive results despite the negative climate in the global oil markets. According to the data made available, the total volume of oil and gas condensate produced by KazMunaiGas surpassed 18 million tons - an 8.2% increase over 2007. Moreover, in 2008 the company almost doubled its output in refined products, reaching 10.3 million tons.
KazMunaigas is the only oil and gas pipeline operator in Kazakhstan. In 2008, the volume of oil transported through the national pipeline system increased by 19.2% reaching 60.6 million tons, while natural gas volume grew to 114.9 billion cubic meters; an 0.6% increase in comparison to 2007. The increase in production, refinery output, and the optimal export conditions during the first half of 2008, boosted the consolidated profits of the company to 318 billion tenge (about USD2.6 billion). KazMunaiGas disbursed 536 billion tenge (USD4.4 billion) in taxes to the State budget of Kazakhstan.
The amount of capital expenditures and investments during the reported period has reached 613 billion tenge (about USD5.0 billion) - an increase of 260%. Major investments for KazMunaiGas in 2008 were the increased participation (16.8%) in the Kashagan project and the signing of an agreement for the Zhambyl, Urichtau and bloc «N» oil-gas field projects. Furthermore, KazMunaiGas has acquired a 50%+2 share stake in the JSC “MangistauMunaiGas”, a company that used to be among the top oil and gas producers in Kazakhstan. KazMunaiGaz’s investment plan for 2009 consists of 65 projects, whereas the total investment expenditure will reach 696 billion tenge; of that, 208 billion devaluated tenge (USD1.3 billion) will be assigned to the development of the Kashagan oil field.
For 2009, KazMunaiGaz expects a four-fold decrease in its net profits caused by the volatile situation in the oil and gas markets and the collapse of oil prices.