NUR-SULTAN, 19 June 2019 - Karachaganak Petroleum Operating B.V. (KPO) and Honeywell (NYSE: HON) signed a Memorandum of Mutual Understanding aimed at developing local content in the Karachaganak project.
Within the framework of the signed Memorandum, Honeywell intends to locally assemble equipment using the technology of and under the Honeywell brand, as well as to create a consortium between Honeywell and a Kazakh partner, which will allow a local company to be involved into more technologically complicated work.
KPO and Honeywell have a long history of cooperation; for example, Honeywell software-enabled solutions provide safe management of operational processes in the Karachaganak field, ensuring operational integrity and possibility for remote control of wells and technological processes in the oil and gas treatment facilities.
The Memorandum was initiated bearing in mind KPO’s requirements that foreign Original Equipment Manufacturers localize production in Kazakhstan and the objective of creating joint ventures between foreign and Kazakh companies in order to develop a production cluster around the Karachaganak field and transfer technology and professional development of Kazakhstan personnel.
“KPO and our shareholders fully support initiatives aimed at industrial and innovative development of the Republic. The agreement signed today is KPO’s contribution to the involvement of global companies in the export goods processing industry of the country and the entry of Kazakhstan into world markets. Previously, under the Local Content Development Program, KPO has already attracted global leaders such as Tenaris, Halliburton, General Electric, Schneider Electric and others to the country’s processing industry, which has allowed KPO to take advantage of world-class industrial technologies that were brought to the Republic of Kazakhstan“, said KPO Vice General Director Marat Karimov.
Honeywell is a Fortune 100 technology company that delivers industry specific solutions that include aerospace products and services; control technologies for buildings and industry; and performance materials globally.
It should be noted that earlier in March 2019, the agreement for the establishing of the new Regional Automation Center in Almaty was signed between Honeywell and Kazakh-British Technical University (KBTU) with KPO’s assistance. The Automation Center will help to improve the skills of KBTU students studying in the field of Automation and Control and it will provide training and skills upgrading for engineers from local companies.
Speaking at the signing ceremony, John Rudolph, President, Honeywell Process Solutions, said: “Through our collaboration with KPO, we are proving our commitment to deliver the latest Industry 4.0 technologies to Kazakhstan’s process industry, which will help improve safety, reliability and profitability. We will do this by leveraging our domain knowledge and applying technology and analytics throughout the lifecycle of a plant.”
The signing of the Memorandum with Honeywell is another step for KPO in the development of potentially productive and mutually beneficial cooperation, which sets out to transfer technology and generate investment in the development of Kazakhstan high-tech manufacturing and service potential.
For more information please contact:
Sergei Pushkarev: PushkS@kpo.kz
Gulnara Sharibayeva: ShariG@kpo.kz
KPO Corporate Affairs Department
KPO and Honeywell sign the memorandum of mutual understanding