Exxon said its stake in Kazak oil fields produced 246,000 barrels of oil and gas per day last year. That oil provided after-tax earnings of about US$2.5bil (RM11.1bil), the filing said. — Reuters
HOUSTON: Exxon Mobil Corp warns, in a securities filing, of potential risks to its Kazakhstan oil operations, which provided US$2.5bil (RM11.1bil) in earnings last year.
Threats to Kazakhstan oil exports have been in the spotlight since Moscow invaded Ukraine a year ago this week.
Exxon and Chevron are major holders in the Central Asia country’s oil production and related export pipeline.
Kazakhstan shares a 7,644-kms border with Russia and its oil exports travel mainly through a Caspian Pipeline Consortium (CPC) line through Russia and lands at a Russian Black Sea export terminal.
Any closure of the CPC pipeline or terminal would shut in more than 1% of global oil supply and cost its producers billions of dollars in lost income.
Exxon said its stake in Kazak oil fields produced 246,000 barrels of oil and gas per day last year.
That oil provided after-tax earnings of about US$2.5bil (RM11.1bil), the filing said.
Exxon “could experience a loss of cash flows of uncertain duration from its operations in Kazakhstan,” the filing said, if oil exports through the CPC pipeline are “disrupted, curtailed, temporarily suspended.”
The US oil major owns a 25% interest in the Chevron-led Tengizchevroil oil production joint venture, which controls the Tengiz and Korolev oil fields in Kazakhstan. — Reuters
