Should I start a Petro Kazakhstan thread?

CALGARY, Alberta, December 29 /PRNewswire/ -- PetroKazakhstan ("the
Company") announces that production of Turgai
Petroleum, its 50% Joint Venture with Lukoil, has been temporarily curtailed
as a result of non compliance by the Management of Turgai Petroleum with
existing agreements on marketing.



Historically, PetroKazakhstan Kumkol Resources ("PKKR"), as operator of
the Kumkol South field and Turgai Petroleum, as operator of the Kumkol North
field, have always shared the supply of the domestic market in proportion to
their production. This equitable sharing has been confirmed at the level of
Turgai Petroleum by various binding shareholders resolutions and other
agreements including the KAM pipeline consortium agreement.



In December, the Management of Turgai Petroleum unilaterally sought to
reduce its supply to the domestic market, creating a supply shortfall for the
Shymkent refinery and a saturation of available storage capacity.



Following extensive but inconclusive discussions, PetroKazakhstan served
formal notice on December 23rd and December 25th to Turgai Petroleum that it
should either supply its share of the domestic market or face a curtailment
of the processing of its crude oil production through the PKKR Central
Processing Facility at Kumkol, effective December 27th. The curtailment is
expected to extend for only a few days.



While PetroKazakhstan will take the necessary steps to protect its
rights, it will also continue to seek an amicable resolution through ongoing
discussions with Lukoil, its Joint Venture partner in Turgai Petroleum.
PetroKazakhstan Inc. is a vertically integrated, international energy
company, celebrating its eighth year of operations in the Republic of
Kazakhstan. It is engaged in the acquisition, exploration, development and
production of oil and gas, refining of oil and the sale of oil and refined
products.



PetroKazakhstan shares trade in the United States on the New York
Stock Exchange, in Canada on the Toronto Stock Exchange, in the United
Kingdom on the London Stock Exchange and in Germany on the Frankfurt exchange
under the symbol PKZ. The company's website can be accessed at

www.petrokazakhstan.com