Kazakhstan says Russian and Kazakh oil product prices may be reduced

Kazakh prices for oil products are 40% behind Russian prices, Kazakh Minister for Oil and Gas Sauat Mynbayev said at the lower chamber of parliament, ITAR-TASS reports.

He added that no custom borders between Russia and Kazakhstan were lifted on July 1. Some types of Kazakh oil products are much cheaper than Russian, about 40% of high octane gas is imported from Russia, which causes a deficit.

The government is to order the national oil and gas company Kazmunaygas to import 50,000 tons of petrol.

The price difference between Russia and Kazakhstan would be more efficient at 20-25%, rather than 10-15% or 40%, Mynbayev said.

The official also noted that Kazakhstan is negotiating oil tolling operations with China. Such operations may have a total quantity of 1.5 million tons of oil annually.