Kazakh Mangistaumunaigas pays off external loan early thanks to high oil prices

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ASTANA. July 11. KAZINFORM Kazakh "Mangistaumunaigas" paid off its debt to China's Exim Bank early due to high oil prices, a source in the company told Trend on Monday.

"Mangistaumunaigas" paid off its debt to China Exim Bank thanks to high oil prices and stable 2012 oil production amounting to 6 million tons," the interlocutor said.

Previously, Kazakh and the international media, wrote that the early repayment of the $2.8 billion dollar loan is a part of another large transaction connected with the sale of Conoco Phillips's share of the Kashagan development project. Kaz Munai Gas will buy this share worth 8.4 percent, but at the same time, it will sell half of its share (8.3 percent) to Chinese CNPC.

The Mangistau Investments B.V. (MI BV) Company, which is a joint venture of the Kaz Munai Gas (KMG) national company and Chinese national oil company CNPC, paid off a loan worth $2.8 billion to the Export-Import Bank of China (China Exim Bank) ahead of time, Kazinform refers to trend.az.

'A loan worth $2.8 billion matriculating in November 2019, was drawn in November 2009', a statement said. 'The borrowed funds were used to acquire 100 per cent of the ordinary shares of the Mangistaumunaigas Company'.

Mangistau Investments B.V. controls 99 per cent of Mangistaumunaigas's shares which is one of Kazakhstan's largest oil producing enterprises. KMG and CNPC own Mangistau Investments BV on a parity basis.

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