UPDATE 2-Kazakhstan cuts oil output forecast, blames ENI
(Wraps comments by Nazarbayev, Masimov, adds details)
By Maria Golovnina
ASTANA, Oct 12 (Reuters) - Kazakhstan will produce 13 percent less oil than expected by 2015, removing 400,000 barrels per day from forecast global supply, due to delays in launching the massive Kashagan field, government officials said on Friday.
Kazakh President Nursultan Nazarbayev told reporters oil output would reach 130 million tonnes by 2015, down from a previous estimate of 150 million. Output will reach 80 million tonnes in 2010, up from the current 65 million.
"This is all Kashagan. They delayed production (start-up) from 2008 to 2010. Of course we are making adjustments," Kazakh Prime Minister Karim Masimov told reporters, referring to the ENI-led group in charge of developing the project.
Kazakhstan has severely criticised Italian oil group ENI (ENI.MI: Quote, Profile, Research, Stock Buzz) and its partners for delays and cost overruns at Kashagan, saying slow development could hamper Kazakhstan's economic growth.
The field was expected to produce more than 50 million tonnes a year, adding to Kazakhstan's existing production of about 65 million tonnes, which comes mainly from two giant oilfields, Tengiz and Karachaganak.
Kazakhstan has threatened to strip ENI of its leading role at Kashagan and give a bigger role to Kazakh state oil company KazMunaiGas [KMG.UL], which has an 8.3 percent stake in the project, but later reassured it would not change the terms.
It has threatened to impose billions of dollars of fines on the consortium after it said development costs had escalated to $136 billion from $57 billion. Talks on disagreements face an Oct. 22 official deadline. Continued...







