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KazMunayGas Suspends Oil Exploration with Lukoil in Caspian Sea

Sanctions against the Russian company halted geological exploration, but there is no talk of withdrawing from the Al-Farabi project

The joint project between KazMunayGas and Lukoil for oil exploration at the Al-Farabi field in the Kazakh sector of the Caspian Sea has been suspended. The reason is sanction restrictions against the Russian company, TASS was informed by the press service of KazMunayGas.

Image source: Grok Imagine

Currently, the project is in the geological exploration stage. Sanctions against Lukoil have halted production activities, but no corporate decisions have been made to withdraw from the project. The shares are distributed as follows: 50.01% for KazMunayGas, and 49.99% for Lukoil.

The Al-Farabi block is located in the Kazakh sector of the Caspian Sea. It is about 130 km from the shore, with depths reaching 600 meters. The audit report of Al-Farabi Operating for 2025 mentioned the shareholders' intention to jointly withdraw from the project due to low prospects for geological success.

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