OREANDA-NEWS. March 26, 2013. A working meeting of the WKO Entrepreneurs Association representatives and industrial companies was held with the management of Karachaganak Petroleum Operating B.V. (KPO).

The main purpose of the meeting was to familiarise WKO industrial companies with the Karachaganak field and review the progress of the current phase of the Project.

The guests were also briefed about the on going field development activities, as well as further plans for the development of the Karachaganak field and Vendor Development programs.

KPO Local Content Development Controller Kairat Kapashov briefed the delegation on the company's active participation in the development of Kazakh suppliers by implementing a number of initiatives.

As part of the local content development, KPO together with the WKO Entrepreneurs Association has implemented a localization project for  goodsandservices production with the regional companies participation. The project is aimed at conditions generation for development of local production of goods and services demanded by the oil and gas industry in the long term.

“KPO implements projects, helping to produce in Kazakhstan spare parts and equipment needed in daily activities at Karachaganak. Such projects stimulate cooperation between foreign and kazakhstani manufacturers; they create opportunities for national companies’ development and encourage the transfer of the best available technology into Kazakhstan’s industrial sector”, - added Kairat Kapashov.

Kairat Kapashov noted: “The use of Kazakhstan’s goods and services is central to the way we work at KPO.  It also positively impacts the development of national and regional economies”. 

According to Kairat Kapashov, use of local goods and service is a priority for the Company in frames of its activity’s efficiency and has a positive impact on the regional and national economy development.

“It was an important meeting with the KPO local content development management. We talked about the possibilities of our industry for the production of products that can fit the standards and requirements of KPO. In turn, the company has expressed its interest in supporting local suppliers, small and medium businesses as well as  well as in further cooperation with the WKO Entrepreneurs Association of local content development, "- said Anis Istelyuev,  president of " WKO Entrepreneurs Association. "

KPO is one of the first companies in Kazakhstan to successfully introduce a local content programme.  The implementation of the Local Content Development Programme has allowed involving more than three thousand Kazakhstani companies into the development of Karachaganak.  These companies have received orders from KPO for over USD4 billion.
 
In 2012, the proportion of local content in KPO contracts for the supply of goods and services reached 56% or USD 336 million in monetary term.

Following the meeting, the parties agreed to take concrete steps and actions to increase the local content in provision of goods and services.