BP Considers Kazakhstan Re-entry: Press
BP is in talks to explore areas of Kazakhstan with national oil company KazMunayGas (KMG), KMG's deputy board chairman Dastan Abdulgafarov told local press on July 7. The UK major exited the central Asian country over a decade ago and had not replied to NGW's request for a comment by time of publication.
BP signed a memorandum of understanding with KMG last year on studying data at subsoil assets belonging to the Kazakh company and third parties in Kazakhstan. At the start of 2020 they also signed a letter of intent, whereby BP expressed its interest in joint exploration and production activities with KMG, Abdulgafarov told Forbes Kazakhstan.
"Areas of mutual interest were identified, an assessment was conducted and negotiations are planned to be held with with aim of reaching an exploration and production contract," Abdulgafarov said.
BP left Kazakhstan in 2009 when it sold its stake in the Chevron-operated Tengiz oilfield – now the country's single biggest source of oil production. It also shed its interest in the Caspian Pipeline Consortium that pumps Tengiz's supply to markets.
BP has instead concentrated on consolidating its position in neighbouring Azerbaijan, where it is the biggest foreign investor. It also has a significant presence in Russia, where it has a minority stake in Rosneft and is partnered with the national oil company at several major upstream projects.
BP is also considering a foray into Uzbekistan. In May 2020, the company and its Azeri partner Socar signed a letter on intent with the Uzbek energy ministry on establishing a production-sharing agreement with the Samsko-Kasbulak and Baiterek blocks in the Ustyurt region.