"We have suspended the license for the Kashagan oil deposit for three months and applied to the Energy Ministry with a request to take effective measures as an authorized body in contractual conditions," Nurlan Iskakov said.
Last week, the Kazakh Ministry of Environmental Protection said the operations by the Italian oil and gas giant Eni, engaged in the development of the country's largest Kashagan deposit, could cause disastrous changes in the environment and destroy the local flora and fauna.
The Italian newspaper La Stampa reported Friday that Italy's prime minister would visit Kazakhstan soon in an attempt to settle all outstanding issues with the country's government.
"I am preparing for this trip very thoroughly. I think we will manage - I hope we will manage - to establish serious dialogue, including at the political level," La Stampa quoted Romano Prodi as saying.
Prodi said Eni was interested in work on Kashagan, but he said Kashagan was also interested in oil being promptly produced and supplied to world markets.
Meanwhile, Kazakh Prime Minister Karim Masimov earlier expressed dissatisfaction with the pace of work at Kashagan, as well as rising operation costs.
In late July, the project operator suggested that the deadline to begin commercial production should be shifted from the second half of 2008 to the second half of 2010, with operating costs to be increased from $57 billion to $136 billion.
Kashagan's recoverable reserves were estimated in 2000 at 13 billion barrels of oil.