How much will Kashagan cost?

    The final cost of the Kashagan project has been announced. According to the Managing Director at NCOC N.V Bruno Jardin, to date $55 billion have been invested in the North-Caspian project.
    There were a lot of speculations earlier about how much money is supposed to have been invested in development of Kashagan oil field, the start of production of which has been postponed several times.
    “The life cycle of the first Stage of Kashagan development is counted in decades. Therefore it should be considered in the long term, rather than in the context of a brief period under the current economic situation. We cannot speculate on oil prices in the future. The reason is that our task is to operate fields, and produce oil. I think calculations based on the dynamics of prices are to be made by companies which have a stake in the oilfield”, Jardin said when asked how many years it will take for the project to recoup in case oil price remains at $50 per barrel.
    Reported by Kazinform.