By OGJ editors
HOUSTON, Feb. 5 -- A unit of Royal Dutch/Shell Group has purchased the interests in Kazakhstan owned by subsidiaries of Oklahoma City-based Kerr-McGee Corp. for $165 million.
Among the assets acquired by Shell Kazakhstan Development were a 50% interest in Arman producing field, 100% interest in the Mertvyi Kultuk exploratory area, and a 1.75% working interest in the Caspian Pipeline Consortium.
During the fourth quarter of 2002, Kerr-McGee's net production from these properties was about 2,500 b/d of oil, the company said.
Luke R. Corbett, Kerr-McGee chairman and CEO called the divestiture "consistent with (its) strategy of focusing on the development of core areas in high-potential trends." Corbett added that the sale's proceeds would be used to pay down the company's debt.
The transaction, which is expected to close Mar. 31, will be effective Jan. 1, 2002.
