Oil and gas exploration and production company Reach Energy has issued an alert call on the situation in Kazakhstan where it started its maiden exploration at the Emir-Oil LLP project.
The government of Kazakhstan has declared a two-week state of emergency after protestors hit the streets, the announcement is for Almaty and the western Mangistau province, where Emir-Oil LLP, the Company’s sub-subsidiary is located. The state of emergency includes curfew, movement restrictions, ban of mass gatherings, and internet disruptions.
Reach had stated that the cumulative effects might contribute to a shortfall and impact the company financially and operationally. It can’t ascertain the full financial and operational impacts at this juncture due to the uncertain situation in Kazakhstan.
Kazakhstan is in turmoil after the price of fuel started rising late last year, the oil-rich country’s government then announced measures to cap the fuel price of liquified petroleum after protests reached Almaty.
