Kazakh ministry appeals court ruling against $5 billion Kashagan lawsuit - Reuters
Kazakh ministry appeals court ruling against $5 billion Kashagan lawsuit | Reuters
Kazakh ministry appeals court ruling against $5 billion Kashagan lawsuit
Infrastructure on D Island, the main processing hub, is pictured at sunset at the Kashagan offshore oil field in the Caspian sea in western Kazakhstan August 21, 2013. REUTERS/Stringer/File Photo Acquire Licensing Rights
ASTANA, Oct 16 (Reuters) - Kazakhstan's ecology ministry has appealed after a court failed to uphold its $5 billion lawsuit against the operator of the giant Kashagan oilfield, Ecology and Natural Resources Minister Yerlan Nysanbayev said on Monday.
The ministry in March sued the field's operator - a group which includes Shell (SHEL.L), Eni (ENI.MI), TotalEnergies (TTEF.PA) and Exxon Mobil (XOM.N), over what it said were excessive deposits of sulphur and other environmental issues.
The Astana government also filed international arbitration claims against the Kashagan partner firms as well as against companies developing the Karachaganak gas condensate field.
The government accused the companies of inflating costs and thus minimising payments to the state budget under their respective production-sharing agreements.
Reporting by Tamara Vaal; writing by Olzhas Auyezov; editing by Louise Heavens and Jason Neely
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