Integrites has the honor to bring to your attention the following information, which we hope may be useful in your company activities.
On October 18, 2014 in Kazakhstan becomes effective the Governmental Decree on variations to “the Uniform Rules for Rational and Complex Subsoil Use within Exploration and Production Period”. In accordance with variations, the rules stipulate that subsoil users shall not be permitted to breach of the extraction rates for hydrocarbons specified in the project documentation. Exceeding of the annual production in fact above the specified by project is permitted for not more than ten percent providing that operating conditions for wells meet project requirements, as well as fulfilment of:
- drilling programs for exploitation fund,
- capacity and compound for agent pumping, and
- arrangements and intensification of production,
which are stipulated by the project documentation for operation of the exploitation objects.
Worthwhile to note that in Kazakhstan there are “ the Uniform Rules for Rational and Complex Subsoil Use within Exploration and Production Period” and “ the Uniform Rules for Subsoil Protection when Developing Deposits of Solid Minerals, Oil, Gas and Underground Water”, which regulate order and requirements for rational and complex subsoil use within exploration and production period. These two legislative acts contain requirements stipulating similar matters, which in turn may lead subsoil users to difficulty and conflict in application of these acts.
We hope that provided information would be useful for you.
For getting more detailed information, please do not hesitate to contact our Firm.
We would be happy to provide you with our help and assistance.