Kazakhstan reportedly resumes proceedings for $5.2 billion fine against Kashagan operator
XOM•Kazakhstan has reportedly restarted enforcement action to collect a 2.3 trillion tenge ($5.22 billion) fine from the Kashagan operating consortium. The consortium rejects the allegations and is contesting the penalty.
1. Fine enforcement resumes
Kazakhstan has restarted enforcement action to collect a 2.3 trillion tenge ($5.22 billion) fine from the international consortium operating the Kashagan oilfield, citing the Ministry of Justice.
2. Consortium contests penalty
North Caspian Operating Company, a venture that includes Shell, TotalEnergies, ExxonMobil and China's CNPC, disputes the fine imposed over alleged sulphur-storage violations. The company says it rejects the fine and the allegations and is contesting them by all available means.
3. Kazakhstan disputes
Kazakhstan is engaged in arbitration with international oil majors working on several of its oilfields, which it accuses of environmental violations and corrupt practices. Kashagan is an offshore Caspian Sea field with an estimated 13 billion barrels of recoverable reserves.
