Kazakhstan: national oil company to buy 50 percent in joint venture

The company said it paid US$1 billion for the shares of three of KazGerMunai's shareholders: Germany's RWE Dea AG, which held a 25 percent stake; EEG-ERDGAS ERDOL, a Gas de France subsidiary that owned 17.5 percent; and the International Finance Corporation, which had a 7.5 percent stake. The deals were signed July 11.

Photo: Kazakhstan: national oil company to buy 50 percent in joint venture

The other half of KazGerMunai is owned by PetroKazakhstan Kumkol Resources, a subsidiary of PetroKazakhstan, which is the country's third largest oil producer and was bought last year by China National Petroleum Corp. for US$4.2 billion.

Earlier this month, KazMunaiGaz bought a 33 percent stake in PetroKazakhstan. KazGerMunai works three oil fields in central Kazakhstan that contain an estimated 43 million tons of oil, about 350 million barrels,according to the AP.