Kazmunaigaz Exploration Regulatory News (KMG)

PRESS RELEASE

KMG EP signs Memorandum of Understanding with Petrofac

Astana, July 1, 2013.KazMunaiGas Exploration Production JSC ("KMG EP") announces that it has signed a Memorandum of Understanding ("MOU") with Petrofac Limited ("Petrofac").

The MOU allows the parties to explore opportunities to improve the efficiency of oil production and increase production from the mature Emba fields of KMG EP's 100% subsidiary EmbaMunaiGas JSC ("EMG").

Under the terms of the MOU, Petrofac intends to evaluate the Emba fields and to submit an offer for the long term improvement of the management and production in selected Emba fields in order to progress a potential Production Enhancement Contract.

Abat Nurseitov, Chief Executive Officer of KMG EP, commented: "The Key objectives of KMG EP today are growth of consolidated production volume and replenishment and increase of oil and gas reserves at our core assets. We hope that our partnership with Petrofac will allow us to accomplish optimization of production and improve oil recovery in EMG mature fields."

Andy Inglis, Chief Executive of Petrofac Integrated Energy Services, commented: "We are delighted to be forging what we anticipate will be a long-term relationship with KMG EP and EMG which will allow us to provide capability and performance-enhancing management for their mature fields in what is a strategically important region for us."

Petrofac's Engineering, Construction, Operations and Maintenance business has been active in Kazakhstan for almost a decade and has successfully delivered a number of projects in the country.

Notes to editors

KMG EP is among the top three Kazakh oil and gas producers. Overall production in 2012 was 12.2mt (an average of 247kbopd) of crude oil, including the Company's share in Kazgermunai, CCEL and PKI. The total volume of proved and probable reserves, as at the end of 2011 was 226mt (1.7bn bbl), including shares in the associates of about 2.1bn barrels. The Company's shares are listed on the Kazakhstan Stock Exchange and its GDRs are listed on The London Stock Exchange. The Company raised over US$2bn in its IPO in September 2006. International rating agency Standard & Poor's (S&P) confirmed KMG EP's "BBB-" corporate credit rating in December 2011.

Petrofac is a leading international service provider to the oil and gas production and processing industry, with a diverse customer portfolio including many of the world's leading integrated, independent and national oil and gas companies. Petrofac is quoted on the London Stock Exchange (symbol: PFC). Petrofac designs and builds oil and gas facilities; operates, maintains and manages facilities and trains personnel; enhances production; and, where it can leverage its service capability, develops and co-invests in upstream and infrastructure projects. Petrofac's range of services meets its customers' needs across the full life cycle of oil and gas assets. With more than 18,000 employees, Petrofac operates out of seven strategically located operational centres, in Aberdeen, Sharjah, Abu Dhabi, Woking, Chennai, Mumbai and Kuala Lumpur and has a further 24 offices worldwide.

For further details please contact:

KMG EP Investor Relations (+7 7172 97 5433)

Asel Kaliyeva

e-mail: ir@kmgep.kz

KMG EP Public Relations (+7 7172 97 7915)

Zhanna Oyshybaeva

e-mail: pr@kmgep.kz

Pelham Bell Pottinger (+44 (0)207 861 3147)

Elena Dobson

e-mail: edobson@pelhambellpottinger.co.uk

Forward-looking statements

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