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On 4 March, the Kazakh prosecutor’s office announced that the Karachaganak Petroleum Operating consortium (KPO), the producer operating in Karachaganak, one of Kazakhstan's largest oil and gas fields, had outstanding gas dues of US$136 million for 2004. At the same time, the prosecution authorities launched an audit of the company's activities in 2005-2008. These measures are part of efforts to pressure the consortium into selling or transferring a stake to the state-owned KazMunaiGaz concern. more »
The scandal, which broke out several weeks after Kazakhstan took over the chairmanship of the OSCE, has put President Nazarbayev, who is very conscious about image issues, in an extremely difficult situation. It may force Astana to be more cautious in contacts with Beijing, and that would certainly play into the hands of Russia.
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Oil supplies from Kazakhstan to Slovakia and Hungary via Ukraine were cut on 9 February due to the Ukrainian-Kazakh dispute over transit fees.. The problems with supplies through Ukraine and their possible reduction after the opening of the Russian oil pipeline BTS-2 suggest the need to search for alternative routes for supplies to Slovakia and Hungary. more »
Five years after the Tulip revolution, Kyrgyzstan is less democratic and more repressive than it was under president Akayev, who was overthrown in the aftermath of protests against the blatantly rigged parliamentary election amidst accusations of authoritarianism, nepotism and corruption. more »
A meeting of the Committee of the Customs Union of Russia, Kazakhstan and Belarus was held in Moscow on 27 January. The parties failed to agree on the division of import duty revenue. The first month of the new, common custom tariff's functioning has revealed many difficulties that integration with its two neighbours will entail for Russia. more »
