KPO reports 2021 performance results

AKSAI, West Kazakhstan Oblast, 4 February 2022 — Karachaganak Petroleum Operating B.V. (KPO) has announced its performance results for 2021.

In 2021, KPO produced nearly 134.05 million barrels of oil equivalent of stable and unstable liquid hydrocarbons, export raw gas and sweet fuel gas. In addition, nearly 10 billion cubic meters of raw gas were injected into the reservoir, which accounts for 52.7 per cent out of the total gas produced in the field.

KPO General Director, Giancarlo Ruiu, said: «Despite the challenges imposed by COVID-19 pandemics, the KPO team has demonstrated a remarkable performance by fulfilling on our commitments and proving capabilities for delivering complex activities and big capital projects, such as the start-up of the Karachaganak Gas Debottlenecking Project (KGDBN) and 2021 Turnaround.

«The 4th Gas Reinjection Compressor project also achieved mechanical completion. Currently, the work continues to ensure readiness of the 4IC systems for commissioning and start up», he added.

«KPO maintains an environmentally sound, safe and economically effective operation of the Karachaganak field for the benefit of the Republic of Kazakhstan and the Karachaganak Partners. Keeping the field running also means thousands of local jobs which positively impact the welfare of many more households across the region and beyond», said Giancarlo Ruiu.

In 2021 KPO achieved a world-class gas utilisation rate of 99.94 per cent representing only 0.06 per cent of raw gas being flared.

«This is just one of the key indicators showing KPO’s commitment to carbon neutrality. Our KPO-365 campaign reflects the vision and ambition to achieve net Zero Scope 1 and Scope 2 Green House Gas emissions before 2037», added Giancarlo Ruiu.

KPO conducts a full-scale monitoring of environmental components, including air, surface water, subsurface water and soil monitoring, as well as emissions monitoring for air and waste water discharges). Particular focus is paid to the introduction of «green» technologies, waste management and measures aimed at reduction of air emissions. To date, KPO has invested $445.4 million into various environmental activities. KPO’s environmental and energy management systems have been continuously recognized as effective and in compliance with international standards ISO 14001: 2015 and ISO 50001:2018.

Process safety and asset integrity of all KPO facilities were also among the top priorities in 2021. The Life Saving Rules and the Golden Rules of Comply, Intervene and Respect have long been imbedded in all operations.

KPO is one of the first companies in Kazakhstan to have implement the Local Content Development Program successfully. In 2021 Local Content in KPO contracts for procurement of goods, works and services exceeded 68.56 per cent or more than $564 million in monetary terms.

Development of local personnel has also remained a key priority. In 2021, KPO national employees made up 98 per cent for professional and technical personnel and 85 per cent of managerial positions.

Throughout the year KPO have been actively promoting the RoK COVID-19 vaccination programme by encouraging its own employees and contractors to voluntarily participate in vaccination. In 2021, vaccination rate among the company’s personnel achieved 93 per cent.

KPO investments in the development of social infrastructure in the region have exceeded $453 million. In December 2021, KPO proudly received the Grand Prix Award at the National Contest of Social Responsibility of Business — Paryz-2021, which is a testimony to the Venture’s strong commitment to the community, its own people the environment.

«We will continue strengthening our long-lasting relations and collaboration with the authorities of the Republic of Kazakhstan in pursuit of our common goal to create maximum value and sustainable development for the residents of the West Kazakhstan region and the Republic of Kazakhstan», said KPO General Director Giancarlo Ruiu.

KPO Corporate Affairs Department