On commencement of new social project – the construction of kindergarten for 120 places in kuryk village, mangistau oblast

On August 3, 2007 the foundation stone laying ceremony for the construction of new kindergarten providing places for 120 children was held in Kuryk village in Mangistau oblast.

This project implementation became possible in the result of the decision made by partners of «Atash», «Tyub-Karagan», «Kurmangazy» and «The Pearls» projects regarding joint financing of the above construction. Consolidation of funds available for social obligations related to the mentioned projects will provide sufficient resources to finance more significant and large-scale facilities in Mangistau oblast.

According to Financial Agreement Mangistau oblast akimat through the authorized organization selects contractors and conducts technical supervision for construction progress.

Total estimated cost for the facility including TDB development and «turn-key construction» totals about KZT 160 000 000. The facility construction is to be completed in December 2007. «NK Kurylys» LLP acts as General Contractor to develop TDB and construct the kindergarten.

Partners for the above offshore oil and gas projects are:

•  «Atash» project — JSC OOC «KazMunayTeniz» and «LUKOIL Overseas Shelf  B. V.»;
•  «Tyub-Karagan» project — JSC OOC «KazMunayTeniz» and «LUKOIL Overseas Shelf  B. V.»;
•  «Kurmagazy» project — JSC OOC «KazMunayTeniz» and «RN -Kazakhstan» LLC
•  «The Pearls» project — JSC OOC «KazMunayTeniz», «Shell EP Offshore Ventures Limited» and «Oman Pearls Company Limited»

All these four projects are united with the fact that they are aimed at exploration and development of the areas located in Kazakhstan sector of the Caspian Sea. All projects have been assigned with Operators which conduct their activity on behalf and on the instruction of the companies-partners.

«Atash» project

The contract to carry out exploration works within «Atash» area was signed between Ministry of Energy and Mineral Resources of the RoK and JSC NC «KazMunayGas» on December 29, 2003. In 2004 subsoil use rights of JSC NC «KazMunayGas» were transferred to «Atash Company» LLP equally formed by JSC OOC «KazMunayTeniz» and «LUKOIL Overseas Shelf  B. V.».

JSC OOC «KazMunayTeniz» created in March 14, 2003 is a 100% affiliate of JSC NC «KazMunayGas»

«LUKOIL Overseas Shelf  B. V.», a 100% affiliate of «LUKOIL Overseas Holding Ltd», was created to implement oil projects on the Kazakhstan shelf of the Caspian Sea.

«Tyub-Karagan» project

The Production Sharing Agreement in «Tyub-Karagan» area located in the Caspian Sea was signed between Ministry of Energy and Mineral Resources of the RoK and JSC NC «KazMunayGas» on December 29, 2003. In 2004 subsoil use rights of JSC NC «KazMunayGas» as per the Production Sharing Agreement were transferred to JSC OOC «KazMunayTeniz» and «LUKOIL Overseas Shelf  B. V.», equal parties of the Production Sharing Agreement

«Lukoil Overseas Shelf  B. V.», a 100% subsidiary of «LUKOIL Overseas Holding Ltd», was created to implement oil projects on the Kazakhstan shelf of the Caspian Sea.

«Tyub-Karagan Operating Company  B. V.», joint operating company, was created in 2004 to implement «Tyub-Karagan» project. «Tyub-Karagan» area is located in the central part of Kazakhstan Sector of the Caspian Sea.

«Kurmangazy» project

The Production Sharing Agreement in «Kurmangazy» area located in the Caspian Sea was signed on July 6, 2005 between Ministry of Energy and Mineral Resources of the RoK on behalf of the Republic of Kazakhstan and JSC OOC «KazMunayTeniz» and «RN Kazakhstan» LLC.

In order to define mutual rights and obligations related to «Kurmangazy» project JSC OOC «KazMunayTeniz» and «RN Kazakhstan» LLC signed the Production Sharing Agreement dated July 6, 2005 regarding the development of «Kurmangazy» area located in the Caspian Sea.

«RN Kazakhstan» LLC, created in April 19, 2001, is a subsidiary of OJSC «Oil Company «Rosneft».

«Kurmangazy Petroleum» LLP created in September 1, 2005 is a 100% subsidiary of JSC OOC «KazMunayTeniz». It acts as the Operator of the project.

«The Pearls» project

The Production Sharing Agreement in the Pearls area located in the northern part of the Caspian Sea was signed on December 14, 2005 between JSC OOC «KazMunayTeniz», «Shell EP Offshore Ventures Limited» and «Oman Pearls Company Limited».

«Caspi Meruerty Operating Company  B. V.», the project Operator, was created in January 8, 2007 in the Netherlands. Parties? interests in share capital of the joint operating company are distributed in the following manner: «Shell EP Offshore Ventures Limited» — 40%; «Oman Pearls Company Limited»- 20% and JSC OOC «KazMunayTeniz»- 40%.