OREANDA-NEWS. September 10, 2015. KazMunaiGas Exploration Production JSC (Astana), whose shares are officially listed on Kazakhstan Stock Exchange (KASE), has provided KASE with the following press release:

KazMunaiGas Exploration Production JSC announces that tax authorities completed a documentary tax audit of KMG EP for the period from 2009 to 2012, launched in September 2014. Based on the audit results the tax authority additionally accrued KZT18.6 bn, charged penalties for late payment in the amount of KZT9.7 bn, as well as a fine in the amount of KZT10.2 bn. The company does not agree with the conclusions of the inspection and soon plans to appeal the notice in the authorized body.

In the financial statements as of June 30, 2015 KMG EP made a provision for taxes in the amount of KZT16.7 bn, mainly related to a complex tax audit of the Company for 2009-2012. This provision has been allocated taking into account the fact that as a result of discussions with the tax authorities in respect of the tax audit the company eventually may not be fully confident in the successful appeal of amounts. The provision in the amount of KTZ16.7 bn relates to income tax and excess profit tax, in addition to fines and penalties.

The Company currently prepares to appeal against the tax claims and will assess their proportionality as the appeals process develops, as well as during the preparation of its quarterly and annual reports.