Kazmunaygaz buys share of BP in CTC

Firm Flotation Kazmunaygaz Kazakhstan signed an agreement with BP on the principles of the sale of its stake in the joint venture Kazakhstan Pipeline Ventures, for which the British company has requested 350 million dollars, but the deal has not yet closed.Last week, BP said that support the long-awaited expansion of the capacity of Caspian Pipeline Consortium, immediately after it is granted unconditional and unrestricted right to negotiate and sell their shares a group of companies . BP owns 6.6% of the CTC in two structures – the joint venture with Kazmunaygazom Kazakhstan Pipeline Ventures (she 1,75% in the consortium) and the company Lukarco (12,5% in CTC), where the Brits – 46%, while the rest — at LUKOIL. The right priority repurchase shares of BP have Kazmunaygaz and Lukoil, respectively. Agreement of Principles signed by (Kazmunaygazom) with BP. Final documents (Sales) expected to sign before the end of the year – early next , – said a source close to the transaction. The source did not name the amount, but another source familiar with the negotiations, reported that BP asked for a share in Kazakhstan Pipeline Ventures 350 million dollars. According to him, the parties allegedly managed to agree on reducing the amount, but the exact figure he described as difficult. The representative of BP, last week stated that it had negotiated with Kazmunaygazom the sale of its shares, declined to discuss the amount of the transaction. The majority shareholders of the pipeline, which connects the Kazakh Tengiz field to the Russian port of Novorossiysk, agreed to the terms of its expansion from the current 33 million tons to 67 million by 2012, transfers Reuters.