Caspian's Zhengeldy Field Production Suspended

Caspian Holdings Plc has temporarily suspended production at its Zhengeldy oil field.

The company is currently awaiting approval of its Supervision of Development Plan (SDP) from the Central Commission of Ministry of Energy and Mineral Resources of Kazakhstan (MEMR). The SDP, which has previously been approved by the Atyrau Regional Inspector and received the necessary positive opinion from the independent expert, has been tabled at the February meeting of the Central Commission of MEMR and Caspian awaits the protocol from this meeting.

Following SDP approval, Caspian will then be in a position to have its 2008 Work Program approved and to apply for an export quota in the successive month. The 2008 Work Program has been approved at the regional level and is awaiting the approval from Zapkaznedra, the regional supervisor, which is dependent on the approval of the SDP.

The Company is closely monitoring the above process and will update the market in due course.