Kashagan operators face huge fine for sour gas leak.

FT: “The government of Kazakhstan will seek $737m in damages from the consortium of international companies developing the Kashagan Caspian Sea oilfield, in the latest blow to the $50bn megaproject.”
“Kazakhstan’s environment ministry on Friday announced it would impose a fine of 134.2bn tenge ($737m) on the consortium and Agip KCO, the unit of Italy’s Eni that operates the project, because of damage to the environment caused by a gas leak last September that halted production at the field.
Kashagan is one of the world’s largest oil discoveries in decades, but its development has been plagued by delays, cost overruns and technical difficulties. It finally produced its first oil – a decade later than originally anticipated – last September, only to stop production a month later because of a toxic gas leak.
….The gas leak is just the latest difficulty for the project, nicknamed “cash-all-gone” in the oil industry for its cost overruns. While there had initially been hopes of a restart early this year, few analysts now expect significant output before 2015.”