KNOC to exit Kazakhstan field

Kazakhstan

ASTANA, August 5, 2016 – Korea Oil Corporation (KNOC) has stated its intention to abandon the Zhambyl oil block in the Kazakh section of the Caspian Sea, a company spokesperson said on Friday.

KNOC’s decision follows a disappointing exploration campaign, which kicked off April 2008 and saw drilling activity in 2013 and 2014. “After discovering less oil reserves than expected, we are in discussions with our Kazakhstan counterpart to drop out of the oil field project,” the spokesperson noted. KNOC and its South Korean partners have invested some USD 250 million in the 2,000-square-kilometre field.

KNOC holds a 9.45% share of the 27% Korean interest in the Zhambyl block, which it jointly operates with KazMunayGas.