What is ExxonMobil's condition for proceeding with the $80 billion Kashagan western development project?

ExxonMobil has explicitly linked its proposed $80 billion joint investment in the western part of the Kashagan oil field to the resolution of a long-running $150 billion dispute between the Kazakh government and international companies — specifically claims for lost revenue during development delays (subject to international arbitration) and a $5 billion environmental fine.

How does ExxonMobil's proposal affect existing Kashagan partners' liability for the $150 billion dispute and $5 billion sulfur fine?

Under Exxon's proposal, companies that join the new western Kashagan joint venture would be released from the $5 billion sulfur fine upon formation of the venture and from remaining claims at the final investment decision; those declining the offer would be released from the claims only if they do not dispute the new venture’s right to develop the western portion, but would forfeit the ability to extend their existing eastern Kashagan license beyond its 2041 expiration.

ChemBrief

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ExxonMobil links an $80 billion joint venture to expand Kazakhstan's Kashagan oil field to resolving a $150 billion dispute with the government over lost revenue and fines.

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