WASHINGTON, Aug. 27 (UPI) -- Kazakhstan suspends Kashagan work
Kazakhstan suspended work Monday on the Kashagan oil deposit operated by Italy’s Agip for three months for ecological violations, the government said.
"We have suspended the activities of the company for three months," Kazakh Environmental Protection Minister Nurlan Iskakov said in Astana.
The comments were reported by Interfax-Kazakhstan.
Iskakov accused Agip Kazakhstan North Caspian Operating Co., the sole operator of the North Caspian Sea Production Sharing Agreement, of failing to observe environmental protection requirements.
Agip is owned by Eni.
"I think that in near future you will be the witnesses to the progress of events" around the Kashagan, Iskakov said.
S. Korean team in Baku for energy talks
A South Korean team visited Azerbaijan for talks on energy issues.
Chungang Ilbo reported Sunday that the 67-member delegation was headed by Vice Commerce and Industry Minister Lee Jae-hoon. He was to meet with top Azerbaijani government and business officials.
Azerbaijan is estimated to have proven crude oil reserves of between 7 billion and 13 billion barrels, the U.S. Energy Information Administration says.
South Korea is the fifth-largest net importer of oil in the world and is trying to shore up energy resources worldwide in the face of stiff competition in Asia from China and India.
China OKs new cross-country pipeline route
China has approved a plan for the route of a new cross-country pipeline.
The 7,000-kilometer pipeline will run from Huoerguosi, in northwestern Xinjiang region, to Guangzhou, in Guangdong province, and Shanghai, China National Petroleum Corp. announced Monday. It will pass through Gansu and Shaanxi provinces.
The pipeline will carry Central Asian gas from Turkmenistan to energy-hungry China.
The two countries are energy allies with a deal last year under which Turkmenistan said it will deliver 30 billion cubic meters of natural gas annually to China for 30 years, via Kazakhstan.
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Closing oil prices, Aug. 27, 3 p.m. London
Brent crude oil: $70.59
West Texas Intermediate crude oil: $71.28
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