Korea Oil Corporation (KNOC) has stated its intention to abandon the Zhambyl oil block in the Kazakh section of the Caspian Sea, a company spokesperson said on August 5, 2016.
«After discovering less oil reserves than expected, we are in discussions with our Kazakhstan counterpart to drop out of the oil field project,» the spokesperson noted.
KNOC group has invested a total of about $250 million on acquiring the stake and exploration since 2008.
The company is currently waiting for approval from Kazakhstan's government to finalise its pullout, he added.
KNOC holds a 9.45% share of the 27% Korean interest in the Zhambyl block, which it jointly operates with KazMunayGas.
In recent years, the country's state-run energy firms have been come under pressure over loss making overseas assets, prompting them to sell some of their overseas projects as part of a broad debt-cutting and restructuring plan.