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Karachaganak

Shell and Eni Face Up to $4 Billion Payout to Kazakhstan After Arbitration Ruling

Oil and gas majors Shell and Eni, key stakeholders in Kazakhstan’s Karachaganak field, have lost a key stage in an international arbitration case in London and may be required to pay the Kazakh government between $2 billion and $4 billion in compensation. The decision was first reported by Bloomberg. According to the ruling, the arbitration panel upheld Kazakhstan’s argument that the project operators had charged the state under a production sharing agreement (PSA) for unapproved cost overruns and other ineligible expenses. The tribunal found that a significant share of the disputed costs should not have been recovered from the state, siding with Kazakhstan on the central legal question. The arbitration proceedings were conducted behind closed doors, in line with standard practice for PSA disputes. The final compensation amount has yet to be determined, and the ruling remains subject to appeal. However, Bloomberg reported that the tribunal concluded the consortium must return a substantial portion of the contested funds, a decision that could require changes to the PSA’s oil and gas distribution formula. Karachaganak is one of Kazakhstan’s largest oil and gas projects and a cornerstone of the country’s energy sector. The field is operated by the Karachaganak Petroleum Operating consortium, which includes Shell, Eni, Chevron, Kazakhstan’s national oil and gas company KazMunayGas, and Russia’s Lukoil. The Kazakh government initially sought more than $6 billion in compensation, arguing that improper cost recovery had reduced state revenues over several years. The dispute was formally launched in 2023 and followed a broader effort by Kazakhstan to assert stricter oversight over major hydrocarbon projects governed by PSAs. In 2024, international partners reportedly proposed resolving the dispute by constructing a long-delayed gas processing plant at Karachaganak to supply the domestic market, an offer seen as an attempt to reach a negotiated settlement. The plant has long been a point of contention, with Kazakhstan pushing for increased gas processing capacity inside the country rather than exporting raw gas. Kazakhstan’s Ministry of Energy has declined to provide further details on the arbitration, citing confidentiality provisions. In response to an inquiry from BAQ.KZ, the ministry said: “All arbitration materials are subject to the confidentiality of the production sharing agreement and the arbitration agreement between the parties. Until the restrictions are lifted, it is not possible to provide any information.” The ruling marks one of the most significant recent legal setbacks for foreign oil companies operating in Kazakhstan in recent years and could have broader implications for how costs are approved and recovered under PSAs across the country’s energy sector.

Protests

Killing of Uzbek Migrant Woman in Istanbul Sparks Protests in Turkey

The killing of an Uzbek migrant woman in central Istanbul has sparked protests in Istanbul and Ankara, and reignited debate over violence against women, the safety of migrants, and the effectiveness of state protection mechanisms. The body of a 36-year-old Uzbek national was discovered on January 24 in a waste container in Istanbul’s Şişli district, one of the city’s busiest areas. According to Turkish media reports, the body was found by a person collecting recyclable materials, who immediately alerted the authorities. Police later confirmed that the victim had been wrapped in bedding material and that parts of her body were missing at the time of discovery. Initial searches failed to locate all of her remains. Turkey’s Interior Ministry and law enforcement agencies launched an immediate investigation. Surveillance footage reviewed by investigators showed two individuals leaving a suspicious suitcase near another container in the area. Turkish media outlets, including WELG and Cumhuriyet, reported that three men have been detained in connection with the crime, two of whom are citizens of Uzbekistan. Two suspects were apprehended at Istanbul Airport while allegedly attempting to flee the country. One suspect reportedly confessed during police questioning. However, the investigation remains ongoing, and judicial proceedings have not yet concluded. The victim was identified as Durdona H., an Uzbek citizen. This information was confirmed by the Consulate General of Uzbekistan in Istanbul, which issued an official statement expressing deep sorrow. Identification was made in coordination with Turkish law enforcement, forensic experts, and prosecutors. “The investigation into this case is under the close supervision of the Consulate General,” the statement read. Uzbek diplomats have contacted the victim’s family and are providing consular and legal assistance. The consulate also extended its condolences and stated that further updates would be shared through official channels. The killing provoked immediate public outrage. Large numbers of women took to the streets in Istanbul and Ankara to protest what they described as systemic violence against women, particularly migrant women. Feminist groups and women’s rights organizations organized a march in Şişli, starting near Osmanbey metro station and ending on the street where the body was found. Protesters carried banners and chanted slogans, stressing that the killing was not an isolated case but part of a broader pattern of gender-based violence. Demonstrators also highlighted the heightened vulnerability of migrant women and called for stronger protection and prevention mechanisms. Police briefly intervened in the protests, warning against the use of certain slogans deemed unlawful, according to Turkish media. Nevertheless, demonstrations proceeded peacefully, with participants demanding accountability and transparency. Similar protests took place in Ankara on the same day. Women’s organizations gathered near the Human Rights Monument on Yüksel Street, echoing calls for systemic reform. Activists argued that violence against women is not an individual problem but a structural one. Turkish women’s rights groups, including the We Will Stop Femicide Platform and the Federation of Turkish Women’s Associations, issued statements in response. They criticized the inadequate enforcement of protection orders and what they described as a culture of...

Criminal Justice Reform

Uzbekistan Proposes Tougher Penalties for Violence Against Women and Children

Uzbekistan is preparing a comprehensive package of legal reforms aimed at eliminating violence against women and children and establishing a societal culture of zero tolerance toward abuse. The measures are outlined in a draft State Program tied to the implementation of the "Uzbekistan-2030" strategy and the national reform agenda for the Year of Mahalla Development and Community Advancement. Under the proposed reforms, criminal penalties for acts of violence against women and minors would be significantly increased. One of the most consequential provisions includes harsher sentencing for sexual crimes against children under 14, including the possibility of life imprisonment. The draft program also recommends transferring the investigation of sexual and violent crimes involving minors to the exclusive jurisdiction of the prosecutor’s office. Additionally, a specialized system of investigators and judges would be introduced, with dedicated training to handle sensitive cases involving abuse. These specialists would be responsible for both the investigation and adjudication of such cases, ensuring a more consistent and victim-centered approach. Another key component of the reform targets early and forced marriages. The program proposes administrative penalties for those who engage or betroth individuals below the legal marriage age. Sanctions could also apply to parents, guardians, or others who facilitate or promote underage unions, including those who publicly advocate for such practices. Officials say these steps are intended to entrench a culture of intolerance toward violence and to develop a more effective system for preventing early and forced marriages. The draft emphasizes the role of community-level engagement, with family and women's support centers expected to reach at least 40% of young couples through specialized educational programs. These initiatives will involve psychologists, legal professionals, and other experts to bolster domestic violence prevention efforts. If adopted, the measures are scheduled to take effect on April 1, 2026. In a related development, Kazakhstan’s Ministry of Health last year proposed tightening the application of chemical castration for individuals convicted of sexual offenses against children. According to draft amendments published on the Open NPA platform, Kazakhstan’s government-run portal for public discussion of draft legislation, the procedure would be administered six months prior to an inmate’s release, following a mandatory forensic psychiatric evaluation conducted up to a year in advance. Kazakhstan’s Health Ministry stated that this measure, regulated under Article 91 of the country’s Criminal Code, is designed to reduce the risk of recidivism during the immediate post-release period, which authorities view as particularly high-risk.

Criminal Investigation

Olympic Boxing Champion Serik Sapiyev Assaulted by Deputy

A criminal case has been opened in Kazakhstan following the assault of Olympic boxing champion Serik Sapiyev by his deputy, Dauren Esimkhanov, in the Karaganda region’s Department of Physical Culture and Sports. The incident has triggered public outcry and intensified scrutiny of internal dynamics within the regional sports administration. Sapiyev, who currently heads the department, stated that the altercation was work-related. While the regional administration urged the public and media not to draw premature conclusions, it acknowledged that Esimkhanov had committed an offense and must be held accountable. A native of Karaganda, Sapiyev rose to prominence after winning gold in the 69 kg weight category at the 2012 London Olympics, where he was also awarded the Val Barker Trophy for most technical boxer. A two-time world amateur champion and two-time Asian champion, Sapiyev retired from professional boxing in 2012. He launched a political career the following year, becoming a UNESCO Goodwill Ambassador in 2013 and later serving as a deputy in the Mazhilis, Kazakhstan’s lower house of parliament, in 2017. In 2018, Sapiyev stepped down from parliament to lead the Committee on Sports and Physical Culture under the Ministry of Culture and Sports. He left the ministry in 2021 and, in late 2024, assumed his current position in Karaganda. The altercation reportedly took place on January 21 at a sports complex in Karaganda and was confirmed by local police. The Karaganda Region Police Department announced a criminal case based on a statement from the 42-year-old Sapiyev, citing grounds of assault. Esimkhanov, a sambo champion with accolades at both the Asian and world levels, has not denied involvement. Sapiyev addressed the incident on Instagram, asserting that the conflict stemmed from attempts to interfere with staffing decisions in the region's sports institutions without his knowledge. “I want to clarify: what happened was not a personal or domestic conflict, but rather resistance from certain individuals who have unofficial influence in the region,” Sapiyev wrote. “Without my knowledge, an attempt was made to illegally rotate the heads of sports organizations in the region. When I discovered this, I tried to stop it peacefully. I want to openly state that no provocations will shake my determination to implement systemic reforms in Kazakhstani sports, which the head of state has repeatedly spoken about.” In response, Esimkhanov claimed on social media that misinformation was being spread. “Currently, information that does not reflect the objective reality is being circulated. I ask you not to succumb to provocations and attempts to destabilize the situation by unscrupulous individuals,” he wrote. Ermaganbet Bulekpaev, the Akim of the Karaganda region, whose office oversees the department, called for caution and restraint while the investigation is underway. He confirmed that the Department for Civil Service Affairs will conduct a full inquiry, including a comprehensive audit of the department’s operations. “There has been a violation, and responsibility must be taken for it,” Bulekpaev stated during a staff meeting. “An investigation is underway, and each action will be given a legal assessment.” The scandal comes on...

Russia

Uzbek Citizen Sentenced to Life in Russia Over Killing of Russian General Kirillov

A Russian military court has sentenced Uzbek citizen Ahmadjon Qurbonov to life imprisonment for his involvement in a bombing that killed Lieutenant General Igor Kirillov, head of Russia’s Radiation, Chemical and Biological Protection Troops, and his aide, Major Ilya Polikarpov. The verdict was issued by a panel of judges at the 2nd Western District Military Court, according to a report by Russian outlet RBK. Qurbonov, who admitted guilt and cooperated with investigators, was also fined one million rubles (approximately $13,100). Prosecutors accused him of carrying out an attack on December 17, 2024, near the entrance of Kirillov’s apartment building in Moscow. Investigators allege that Qurbonov planted a remote-controlled bomb on an electric scooter and detonated it as the general and his aide exited the building. Russia’s Investigative Committee claims Qurbonov acted under orders from Ukraine’s Security Service. The attack was reportedly filmed and streamed live to Ukraine. Qurbonov was allegedly promised $100,000, forged documents, and residency in a country in the European Union. He was arrested within hours of the explosion and, according to investigators, never received the promised compensation. Several other individuals were implicated in the case. Prosecutors said Vladimir Safaryan delivered the explosive device, which was reportedly brought into Russia from Poland. Batukhan Tochiev and Ramazan Padiev were accused of providing Qurbonov with an apartment where he attempted to hide after the attack. All three denied knowledge of the planned bombing. Russian authorities further alleged that the operation was financed using USDT stablecoins. Qurbonov reportedly received multiple cryptocurrency transfers, later converted into cash through cryptomats in Moscow. The total cost of preparing the attack was estimated at 842,000 rubles (approximately $10,936), while damage to surrounding apartments and vehicles was valued at 3.3 million rubles (around $42,863). The trial, which began in November 2025, was held behind closed doors. Prosecutors argued that open proceedings could be exploited by foreign-linked media to justify the attack.

Cyber Security

Kazakhstan Considers Criminal Liability for Mass Leaks of Personal Data

Kazakhstan is considering tightening legal responsibility for violations related to personal data protection. The Ministry of Artificial Intelligence and Digital Development has proposed introducing criminal liability for mass leaks of citizens' personal data, along with a significant increase in administrative fines for failing to comply with information security requirements. The proposal was announced by Rostislav Konyashkin, First Deputy Minister of Artificial Intelligence and Digital Development, during a government meeting. According to Konyashkin, Kazakhstan is adopting a “zero tolerance” policy regarding the mishandling of personal digital data. “In implementing the constitutional rights of citizens to privacy and the protection of personal information, we are moving to a zero-tolerance policy in this area. Digital transformation should not undermine the security of citizens, and any irresponsible handling of personal data should be punished in accordance with the law,” he said. In addition to criminal penalties for mass data breaches, the ministry is proposing to significantly increase administrative liability for officials violating information security standards. The current maximum fine is approximately $17,000. The proposed new ceiling would be about $42,500. The initiative would apply to government agencies, the quasi-public sector, financial institutions, and private companies that handle large volumes of personal data. The day prior to the government meeting, President Kassym-Jomart Tokayev addressed the issue of digital security at the National Kurultai (Assembly). He emphasized that the right to personal data protection should be enshrined in the country's. “Our Constitution must keep pace with the times. In the 21st century, digitalization is developing at a rapid pace and has a direct impact on human rights and freedoms. Therefore, the Basic Law must clearly stipulate that the personal digital data of citizens is protected by law,” Tokayev said. The push for stricter regulation follows a series of large-scale data breaches. In spring 2024, the State Technical Service of the National Security Committee identified a leak affecting over 2 million clients of the microfinance organization zaimer.kz. In summer 2025, the government confirmed the largest data breach in Kazakhstan’s history, compromising the personal information of over 16 million people, more than three-quarters of the country’s population of just over 20 million. Experts say the proposed legal reforms mark Kazakhstan’s shift toward a stricter regulatory framework, aligning with standards seen in the European Union and some Asian jurisdictions, where personal data breaches carry both administrative and criminal consequences.