IMB Center held a Seminar and an exhibition in Atyrau on the possibilities of localization of goods at the large projects Tengiz, Kashagan and Karashaganak.

On October 2, 2024, the Seminar on the possibilities of localization of goods at the large projects Tengiz, Kashagan and Karashaganak was held in Atyrau. The event was held with the support of the Ministry of Energy of the Republic of Kazakhstan and with the organizational support of Petrocouncil, also with the participation of PSA LLP, Chevron Direct Investment Fund, as well as with the participation of major oil and gas Operators Tengizchevroil LLP (TCO), Karachaganak Petroleum Operating B.V. (KPO) and North Caspian Operating Company N.V (NCOC).

Presentation

In the official part of the Seminar, Vice Minister of Energy of the Republic of Kazakhstan Arymbek Kudaibergen Berikuly, Chairman of the Presidium of the PetroCouncil Artygaliyev Rzabek Dautovich and Deputy Director General for Contracts and Sales of PSA LLP Kismetov Nurzhan Zhumabaevich opened the Seminar with welcoming speeches.

Within the framework of the Seminar, Acting General Manager of IMB Center Abishev Dastan Bahytuly presented an analysis of Commodity Group A (electrical equipment, instrumentation and valves), a capacity development plan and certification requirements for commodity producers were discussed separately. In addition, the presentation was made by Damon Thornburg, the General Manager of Finance Chevron Eurasian Business Unit, CEO of Chevron Direct Investment Fund.

Within the framework of the event, an exhibition of goods from local manufacturers by Commodity Group A was held, where domestic manufacturers were able to demonstrate their goods.

During the Seminar, more than 15 contracts for the purchase of materials for maintenance, repair and operation between major oil and gas Operators and Kazakhstani suppliers were also signed. Thus, Tengizchevroil (TCO) signed long-term contracts and purchase orders for the supply of Maintenance, Repair, and Operations (MRO) goods, as well as safety materials with local companies Sigma Solutions LLP, ONM Paritet LLP, and Kazakhstan Integrated Services LLP, Borkit Safety LLP and Synteco Group LLP. Miscellaneous electrical, mechanical materials, tools, filters, pipes, fittings, flanges, gaskets, and fasteners, as well as personal and fire protection equipment, will soon be purchased by TCO. As part of the long-term agreements, listed local companies are committed to supplying TCO with locally produced goods and will require building the technical capacity of their local workforce.

KPO has signed contracts with Kazakhstani suppliers totaling more than 96 million US dollars. It was noted that these contracts were awarded due to the use of the "Kazakhstan tender" mechanism. The essence of this mechanism is that only local suppliers of goods, works and services can participate in such tenders, and its main purpose is to ensure that contracts are awarded to Kazakhstani companies. KPO constantly creates favorable conditions for local suppliers to actively involve them in the company's procurement processes, which led to the use of this mechanism.

The operator of the North Caspian project also confirmed its plans to purchase materials and goods from Kazakhstani companies by signing contracts with the manufacturer of insulating materials Beruseal Caspian LLP, the manufacturer of large-sized oil and gas equipment Atyrau Neftemash, manufacturers of electric cables Kazelectromash and Kazelectrocabel.

IMB Center plans to further develop and strengthen cooperation with domestic manufacturers of oil and gas equipment, assisting them in establishing long-term cooperation with Operators.

IMB Center Seminar gathered about 190 representatives of both foreign and domestic oil and gas machinery enterprises, of which about 60 companies of domestic producers participated and, moreover, interested government bodies, industry associations, and development institutions were also present.