KazMunaiGas E&P delays acquisition due to tax reform

ALMATY, June 23 (Reuters) - London-listed Kazakh oil producer KazMunaiGas Exploration and Production (KMG E&P) (KMGq.L) said on Monday it would delay at least one planned acquisition this year due to expected tax reform.

Kazakhstan plans to revise its tax system to increase revenues from oil, mining and metals sectors, but the government has not said what the new rates would be.

"In view of the current fiscal uncertainty KMG EP deems it prudent to adjust some plans for 2008 acquisitions," the company said in a statement.

"In particular the acquisition of 33 percent in PetroKazakhstan, originally planned for first half 2008, will now be considered for completion in the second half 2008."

China's CNPC has a controlling stake in oil producer PetroKazakhstan while Kazakh state company KazMunaiGas [KMG.UL] owns 33 percent.

KMG EP, controlled by KazMunaiGas, was planning to buy the stake from its parent.

KMG E&P also confirmed its 2008 oil output target of 9.5 million tonnes at its own fields and 2.45 million tonnes from affiliated companies. (Writing by Olzhas Auyezov; editing by Rory Channing)