Kazakhstan International "Oil & Gas" Exhibition and Conference
2-4 October 2024
Almaty, Kazakhstan

KIOGE: TCO continues to support Kazakhstani suppliers

Olzhas Lukmanov, TCO Kazakhstan Content Development (KCD) Department coordinator for interaction with suppliers in within KIOGE exhibition framework, told Kazakhstani entrepreneurs about how to become a TCO supplier. “We recommend that your company should express an interest to become a TCO supplier by registering company account in TCO supplier database HTTPS://seoi.tengizchevroil.com/. In order to register company profile, there are 4 simple steps: launch SEOI page on external TCO website, read “SEOI Instructions for Suppliers”, create a profile in SEOI web page and fill out a form, and then wait for a notification with comments on errors, or a notification of successful registration in the database for potential suppliers.”

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The constant development of Kazakhstan market of goods and services meeting high international standards is a cornerstone of TCO’s continuous development strategy and creates significant values for Kazakhstan. TCO is constantly looking for opportunities to further strengthen partnerships with suppliers and producers from all regions of Kazakhstan.

Hence, TCO requires large strategic suppliers and equipment manufacturers to invest in the economy of Kazakhstan and nationalize personnel. Examples of successful localization of production include: chemical reagents for drilling fluids, cases for remote instrumentation and substations. Secondly, TCO qualifies companies by determining their ability to meet high requirements. Last year, enterprises providing waste disposal service, thermal insulation of vests, repair of low and high voltage engines, and other Kazakhstani companies were considered.

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In addition, TCO cooperates with external projects for Kazakhstani business development, such as initiative of European Bank for Reconstruction and Development (EBRD). Within such framework of the program, local enterprises receive direct consultations from international and local experts, and can also be trained to obtain international quality certificates. According to EBRD, participating companies of the program have increased turnover by almost 80% and significantly improved productivity. As a result, TCO has seen an increase in a level of local content in goods, increase in nationalization and creation of local enterprises that employ Kazakhstani citizens not only in Atyrau and Mangystau Oblasts, but also throughout the country.

IHS Markit, together with a group of researchers from KIMEP University conducted survey TCO production activities in oil and gas production in monetary terms, the impact of TCO expenses on Kazakhstani companies, including its contribution to social investment programs. During a period from 2010 to 2019, TCO expenditures on local Kazakhstani enterprises totaled approximately $24.4 billion, or an average of $2.4 billion per year. This, in turn, sets in motion two types of economic activity, which were calculated using special economic models of “IHS Markit”. TCO activities are mainly concentrated in Atyrau Oblast, but the average annual costs of the company in the local market are not limited to one area.

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In addition, TCO strives to support domestic suppliers, including by providing them with information about production and technical needs and requirements for them. Today you can find TCO’s Procurement Plan on the following website https://www.tengizchevroil.com

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