MMS Petroleum has agreed to take an effective 17.5 per cent stake in the Karakuduk oil field development project in Kazakstan. This is being acquired through the purchase of a 35 per cent interest in Central Asian Petroleum Guernsey, a subsidiary of Chaparral. Central Asian has a 50 per cent interest in Karakuduk.

The consideration is $6 million payable in three tranches, representing 35 per cent of the audited past costs incurred by Chaparral in connection with the project, together with 2.5 million MMS shares. MMS said the cash and shares will be paid at agreed times, depending on the progress of the project.

The Karakuduk oil field is located 227 miles from the regional capital of Aktua, a port on the Caspian Sea. MMS was formerly called Marine & Mercantile.