- Oil production at the giant Kashagan field in Kazakhstan, halted since mid-October because of a dangerous gas leak, won't resume before next year, WSJ reports.
- The prolonged stoppage is another setback for the NCOC consortium, which has invested ~$40B over more than a decade to develop one of the largest hydrocarbon discoveries of the last 30 years.
- Ramping up production to 370K bbl/day in 2015 and eventually to 1.5M bbl/day is crucial for some members of the consortium, such as Total (TOT), which is relying on Kashagan to help offset output declines in other parts of the world.
- In addition to TOT, the consortium includes Kazakhstan's KazMunaigas, Exxon Mobil (XOM), Royal Dutch Shell (RDS.A, [RDS.B]]) and Eni (E), which each hold a 16.81% interest; Japan's Inpex owns a 7.56% stake, and China National Petroleum (PTR) recently acquired an 8.33% tranche from ConocoPhillips.
Kashagan oil field won't restart output before next year
Nov 8 2013, 08:11 ET