The chief financial officer of London-listed KazMunaiGas Exploration Production (RDGZ.KZ) said the company is cooperating with the Kazakhstan government on tax code revisions, which have prompted it to postpone takeover plans amid contractual uncertainty.
Zhanneta Bekezhanova, CFO of the Kazakh oil and gas producer, said she did not believe the government was deliberately trying to hamper the industry with its proposed tax changes but added that resolving the issue would be very important to future oil and gas exploration activities.
The company is "viewing the government agenda with understanding and trying to assist them in any way we can," she said.
She added there is "big potential" in Kazakhstan"not only on shore but offshore."
Offshore exploration in the Caspian Sea is an area of major interest to oil companies; Kazakhstan 's giant Kashagan field is situated there, though its startup has repeatedly been delayed amid disputes between the government and oil companies working on the project.
The Kazakh government is in the middle of developing a new tax code that proposes canceling royalties and to levy a natural resources extraction tax on all mineral resources produced in the country.