Kazakh KMG 2018 Revenues Double
Kazakh state-run KazMunaiGaz’s (KMG) revenues rose 45.8% year-on-year to tenge 6.989 trillion ($20.275bn) in 2018, the company announced April 15. The growth came from a weaker currency, higher global oil prices and higher oil and gas sales volumes.
“Net profit was up 32% year-on-year to above $2bn, while capital expenditure declined 6.1% to $1.82bn,” it said.
The company said that KMG reduced its gross debt as a result of Eurobond redemption in the amount of $1.6bn and prepayment of loan obtained from Russian Sberbank in the amount of $400mn.
KMG’s oil and gas condensate production increased by 1% year-on-year to 23.606mn metric tons, while natural and associated gas production was up 1.8% to 8.137bn m³.
Kazakhstan’s gross gas production (including re-injection and flaring and foreign companies’ production shares) in 2018 was 55.5bn m3 (with 4.4% growth on year), of which 33bn m3 was sale gas (with 4.4% growth on year).
The central Asian country exported 19bn m3 or 10.4% more year on year, of which 5.8bn m3 with a value of $1.59bn, went to China. That is about 5.3 times more than in the year before. Kazakhstan signed an agreement with China to increase gas exports to 10bn m3/yr from 2019.
The rest of the exports went to its traditional customer, Russia.