The Chairman of the Management Board of JSC NC 'KazMunayGas' Alik Aidarbaev proposed directly reassigning JSC 'KazTransGas' to the Samruk-Kazyna Fund.
This proposal was voiced at a regular meeting of the Samruk-Kazyna Fund Management Council chaired by the First President of the Republic of Kazakhstan, Elbasy Nursultan Nazarbayev.
During his speech, the head of KMG noted that over the years of independence, a powerful transport infrastructure for oil and gas was created in the country.
'During the period of infrastructure development, the location of KazTransGas JSC and KazTransOil JSC as part of KazMunayGas was fully justified. It was necessary to concentrate all resources into a single center for the development of a diversified network of transport routes. To date, all these works are almost complete and the two companies have already become self-sufficient. In this regard, it is proposed at the initial stage to reassign the KazTransGas company directly to the Samruk-Kazyna Fund. This will reduce management levels, keep the state's infrastructure projects in case KMG goes public, and concentrate on KMG's exploration, production and refining of oil and gas, oil and gas chemistry projects, 'Alik Aidarbayev said.
This proposal was supported by Nursultan Nazarbayev, who instructed to work on this issue.
Currently, KMG has begun to fulfill the instructions in relation to KazTransGas JSC. It is necessary to obtain the appropriate consent of state bodies, as well as the approval of the boards of directors of the Samruk-Kazyna Fund and KMG.
Also, negotiations will be held with other interested parties with whom KMG has a contractual relationship. Work will be carried out with creditors, including holders of KMG Eurobonds, to explain the transaction, the reasons for its implementation and to obtain their consent. Decisions on the structure of the transaction will be made taking into account their interests, as well as the impact on KMG's credit ratings.
The issue in relation to KazTransOil JSC will be considered additionally at a later stage.
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