Digitization of Kazakhstan oil and gas industry

On the 8th of November 2019 in Atyrau city, in the building of APEC PetroTechnic Higher college the round table took place on the subject “Digitization of Kazakhstan oil and gas industry”. The event was arranged by the Council for development of strategic partnerships in oil and gas industry – Petrocouncil.kz founded under the auspices of “Atameken” Republic of Kazakhstan National Chamber of entrepreneurs and Kazenergy association jointly with Society of Petroleum Engineers (SPE) and with support from Atyrau region mayor’s administration, Republic of Kazakhstan Ministry of energy.

Participants of the forum discussed issues of digitization of oil and gas industry. In particular, issues of implementation of reference system for oil record, storage and processing of geological and personal data, inspection of strategic facilities, accessibility of drone-type devices, legislative standards in the area of application of digital technologies and etc.

As Alan Aralabayev – director of digitization and information technology development department of the Republic of Kazakhstan Ministry of Energy – said in the course of the round table, implementation of information system for record of crude oil and gas condensate is carried out within frames of requirements of the Code “On mineral resources and utilization of mineral resources”.

In particular, already since the 1st of January 2020 oil transportation companies (pipelines) shall arrange record and transfer of data to the system of the Republic of Kazakhstan Ministry of Energy. Since the 1st of January 2021 oil producing companies and oil refineries shall install monitoring devices in their facilities and provide online reports. And since the 1st of January 2022 commercial record of commodities will be introduced from workshops for treatment and pumping of oil, commercial oil tanks and so on.

According to Alan Aralbayev as of today practically all large operators have their internal system of oil record. All that is left to do is to integrate them into the system of authorized state agency.

He also noted that there are available Rules for formation and functioning of information system approved by the order of the minister, where it clearly establishes the procedure for integration. Whereas technical part of the integration of systems is provided in the law “On information technology development”. The list of report types is being currently revised.

In the meanwhile in the course of the forum they pointed out also to human resources problems in the area of information technologies and to the situation in the domestic IT industry as a whole. Thus executive director of Astana Hub – Adlet Nurgozhin – believes that the Republic still faces development of human resources potential. Therefore Astana Hub jointly with Atyrau Hub will train the youth in IT entrepreneurship, how to develop startups.

The Secretary of the Council for development of strategic partnerships in oil and gas industry – Petrocouncil.kz – Assylbek Dzhakiyev – said that only three large operators: TCO, NCOC and KPO spent around 180 millions of US dollars on purchases in the area of information technologies last year. It is expected that this volume will increase several times in the nearest future. Therefore local entrepreneurs have a good incitement for development.

Managing partner of Dasco Consulting Group – Darmen Sadvakassov – believes that Atyrau Hub recently founded will become a good platform for generation of IT ideas, development of local IT-entrepreneurs and building of cooperation between domestic IT supplies and oil and gas operators.

Upon completion of the round table “Atyrau Energy Challenge” DEMO Day took place, in the course of which the digitization contest participants presented their works.

Atyrau Energy Challenge is a marathon of programmers, developers, web-masters stimulating emerging and development of new ideas, which facilitate operational processes in oil and gas industry.

In the course of the contest, which went on for a month more than 100 works were submitted. The contest participants had the goal of developing IT solutions for Ensuring compliance with safety and environment protection rules, facilitation of materials storage and preservation processes, reducing of paper document turnover and finding solution for industrial Internet of things.

The purpose of Atyrau Energy Challenge was to find and help implement the most promising solutions for oil and gas industry of Kazakhstan, to develop local content and digital startup-ecosystem in Atyrau, to attract scientific communities and startups from neighboring countries as well as to attract prospective startups, accelerators and investors into oil and gas industry.

Atyrau Energy Challenge at Atyrau HUB was arranged by Society of Petroleum Engineers (SPE) jointly with Petrocouncil.kz (with “Atameken” National Chamber of Entrepreneurs of the Republic of Kazakhstan and Kazenergy association), jointly with APEC PetroTechnic higher college with support from the Republic of Kazakhstan Ministry of Energy, Ministry of digital development, innovations and aerospace industry of the Republic of Kazakhstan, Atyrau region mayor’s administration and Astana Hub.

The following persons became winners of the contest:

1 place. Sergey Kim. Neural Shield Development of an application for automation of collection and processing of SAFE-R cards. Safety in your smart phones.

2 place. Darmen Zholtai. InSight team Big data – new oil 3 place. Amanbayeva AruzhanDream-Team Automated mobile saÿety support AMANOS  и Nurzhan Mukhamedkali. Team Norsec EINIXVISION ADVANCING AI FOR EVERYONE