I. Introduction
In today’s world, with the transition to a market economy many entrepreneurs and business leaders start to think more carefully about the way of efficiently organizing financial activities of the company, improving the management of financial resources and differentiating company’s policies and performance for firm’s future prosperity. This term paper addresses such issues for KazMunaiGas Exploration Production Company by the analysis of firm’s structure, corporate governance, financial statement and all other important factors that determine a financial condition of the company.
A. Objective The main goal of this work is to obtain a small number of the key and most informative parameters that give objective and …show more content…
The company is developing 41 oil and gas fields. UzenMunaigas develops two major fields, EmbaMunaigas - a group of 39 fields. In addition, the Company owns shares in associated companies engaged in production oil and natural gas. KMG EP is one of the top three oil producers in Kazakhstan. The production volume of the Company, including shares in companies LLP "JV" Kazgermunai, CCEL ( KarazhanbasMunai) and PetroKazakhstan, in 2012 was 12.2 million tons (247 thousand barrels per day).
KMG EP mission is effective exploitation of hydrocarbons in order to maximize the benefits to shareholders, whilst providing long-term economic and social benefits for the regions of our operations. The main objective of KMG EP is the increase in shareholder value. KMG EP seeks to achieve value growth through growing reserves and production of hydrocarbons, improving profitability of existing assets, and developing new business opportunities.
A. Corporate Governance of KazMunaiGas EP The total number of KMG EP shares is 74,357,042, of which 70,220,935 are ordinary voting shares and 4,136,107 are preference shares. Almost 57,9% of shares belongs to JSC NC KMG, others are treasury shares(8,1 %), free float ordinary shares (31,1%) and preference shares (2,8%) (Structure of the company’s shareholders is attached in Appendix A).
According to Code the Corporate Governance of the company based on the principles of fairness, honesty, responsibility,