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EU confident of solution over Kazakhstan oilfield
06 Sep 2007 08:34:34 GMT
Source: Reuters
BRUSSELS, Sept 6 (Reuters) - The European Union's executive arm is confident there will be a negotiated solution between Kazakhstan and Western oil companies over a row concerning an oilfield, the European Commission said on Thursday.

Kazakhstan warned an Eni-led <ENI.MI> consortium of Western oil majors the Kazakh state oil company could take a greater role in the Kashagan oilfield following a row over the project's delays and cost overruns.

A spokesman for Energy Commissioner Andris Piebalgs said the EU's energy chief had visited the field and witnessed the "strict" environmental measures that Eni had taken.

He said Piebalgs was surprised about the government's environmental concerns but was confident that good relations between the European Union and Kazakhstan would help lead to a solution.

"He is confident there will be a negotiated solution," said Ferran Tarradellas Espuny. "We are following the situation very closely."
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