Strike and blackouts cut KazMunaiGas EP oil output

KazMunaiGas Exploration Production (KMGq.L) blamed emergency power cuts and a strike as it reported a 3 percent year-on-year fall in crude oil output.

London-traded KMG EP, majority owned by Kazakh state oil and gas firm KazMunaiGas , said that according to preliminary data it produced 6.31 million tonnes of crude in January-June, 216,000 tonnes less than the first half of 2010.

“The results of the first six months were affected by a number of emergency power cuts in the fields, caused by severe weather conditions in March and April,” the company said in a statement to investors.

“As a result of the industrial action that commenced on May 26, the loss of oil production amounts to 174,000 tonnes.”

The company had said it expects to fall 4 percent short of its planned output target of 13.5 million tonnes this year as the strike at its Uzen field in western Kazakhstan entered a second month.

http://www.reuters.com/article/2011/07/07/kazmunaigas-idUSLDE7660BU20110707

This entry was posted in capital and class and tagged , , . Bookmark the permalink.