Business
Reduction in crude oil produc
Reduction in crude oil produc.
About this update from Nostrum Oil & Gas Plc
[{"type":"text","content":"\n RNS Number : 1689Z Zhaikmunai LP 16 July 2008 \n \n16 July, 2008\n\nZhaikmunai LP announces reduction in crude oil production \ndue to shortage of rail cars\n\n\nZhaikmunai L.P. (LSE: ZKM, the 'Company', 'Zhaikmunai'), an independent oil and gas enterprise operating in Northwestern Kazakhstan today announces that it has temporarily reduced daily oil production due to an unexpected shortage of available rail cars for oil transportation. \n\nDaily production of 6,700 bbls per day has been temporarily reduced to 2,000 bbls per day, effective immediately, while this issue is being resolved.\n\nManagement has commenced negotiations with a shortlist of rail car operators to secure sufficient rail car availability going forward, through the signing of long-term rail car lease agreements. The initial results of these negotiations are expected shortly and management currently expects that production will resume at capacity during the next two weeks. If this is achieved then the impact on the company's annual production is unlikely to be material.\n\nHowever, if the current rail car shortage were to continue until the end of 2008, the management expects production to be restricted to the current full capacity of 6,700 bbls a day. \n\nA further announcement will be made when more information becomes available.\n\nZhaikmunai's management team will be holding a conference call for analysts and investors to discuss this development at 2pm BST on 16 July 2008. Dial in details for the conference call and the replay facility, which will be available for one week, are below.\n\nParticipants International Dial In: +44 (0) 1452 561 263\nConference ID 56381810 \n\nReplay Details:\nInternational Dial In: ...