Kazmunaigaz Exploration Regulatory News (KMG)

PRESS - RELEASE

KMG EP makes clarification: this referred to mineral extraction tax expenses

Astana, 14 March 2013. JSC KazMunaiGas Exploration Production ("KMG EP" or "the Company") yesterday held a conference call presenting the financial results of 4Q2012. During the conference call among other questions a decline of mineral extraction taxes (MET) expenses was discussed that occurred in 4Q2012. The Company believes it is necessary to make the following clarification: the reduction in MET expenses that occurred was a one-off effect of the restructuring of the Company by the transfer of the former production units "Uzenmunaygaz" and "Embamunaygaz" into joint stock companies. This one-off effect is not expected to lead to lower MET expenses in future periods.

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 247 kbopd) 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 2.1 bn 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.

For further details please contact us at:

«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 

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