Tengizchevroil (TCO) LLP is one of the largest oil and gas companies in Kazakhstan, recovering more than 28 tonnes of oil per year. From 1993 to 2018, that is from the moment of its establishment,the enterprise has purchased goods, works and services of Kazakhstan’s production for more than $28 billion.
AsTengizchevroil LLP Deputy General Director Murat Mukashev told to petrocouncil.kz, within the framework of “Aktau declaration” on products local content development, the company iscurrently continuing thedevelopment of 7 end-products in machine-building industry. This refers to such kinds of products as flanges, pipe fittings, pipe elements, heat-exchangers, consumable materials, electrical equipment, valves and downhole equipment.
Besides, the company maintains the developments in service industry in 3 directions: maintenance service, downhole equipment maintenance service and repair and wastes regulation.
TCO implements the supplier development program jointlywiththe European Bank of Reconstruction and Development. In 2016 TCO implemented a two-year pilot program, within the frameworks of which a work has been done on developing potential and training employees. More than 20 companies have improved their potential. Four trainings have been conducted for about 200 entrepreneurs.
Overthelastthreeyears, within the scope of Kazakhstani content growth, the company purchased low-voltage cables, power transformers, power supply transformers, transmission-line transformers and other relevant auxiliary equipment, fully assembled switch yards and substations, etc.
For instance, low-voltage cables were provided by a Kazakshtani company from Pavlodar. The evaluation of company’s technical and economic opportunities and its capacity to meet the TCO requirementswas organized in advance. As a result, the company eliminated all defects and implemented all the recommendations.
“The company acquired positive experience, which enabled it to improve products’ quality and technical safety indicators to the level of international standards. One trial order and one consecutive order were made. The company supplied low-voltage cables at the overall amount of $1 million”, says Murat Mukashev.
The supply of all-welded ball valves was adjusted in the same way by the company from Aksai, West-Kazakhstan region. The contractor received the order within the Future Growth Project(FGP) and the Wellhead Pressure Management Project(WPMP).
Basically, this is not the full list of how TCO procuresgoods, works and services from Kazakhstani suppliers. The company representatives claim that the key aspect of Kazakh Content Growth Strategy is a work with current and potential suppliers aimingto achievethese companies’comprehension ofinternational quality and standards thatthey are expected to meet in order to cooperate with the oil and gas industry.