Kazakhstan threatens to revise Eni's Kashagan oil field deal
FRANKFURT. July 30. KAZINFORM - Kazakhstan may revise Eni SpA's contract to develop part of the massive Kashagan oil field in the Caspian Sea after the Italian oil company last week said it would delay the start of production by two years, Prime Minister Karim Massimov said. Now that Eni has said it will postpone production until 2010, 'we are reviewing how to change the entire contract,' Interfax quoted Massimov as telling a government conference in Astana. 'Our action will be adequate.' No one was immediately available for comment at Eni. Eni is the operator of Kashagan with an about 19 pct stake. In February the Italian company estimated capital expenditure to achieve first oil extraction from the field at 19 bln usd, Kazinform cites Thomson Financial. It also estimated initial output at 300,000 barrels of oil equivalent a day, with peak daily production reaching more than 1.5 mln boe within nine years. firstname.lastname@example.org amk/rfw/jms Copyright AFX News Limited 2007. All rights reserved.