One of Tengizchevroil’s key priorities is to build the local capacity and capabilities of Kazakhstani businesses. TCO views our dedication to continuing to grow the use of Kazakhstani goods and services as supporting Kazakhstan’s sustainable development as well as good business.
TCO’s strategy in increasing our use of Kazakhstani goods and services centers on four elements:
- Creating opportunity
- Growing manufacturing and production capabilities
- Transferring skills
- Maximizing local employment
This focus has enabled us to increase our Kazakhstani goods and services spending tremendously. In 2012, 60 percent of our total in-country spend was spent with Kazakhstani companies.
Tengizchevroil actively works with the Republic of Kazakhstan, KazMunaiGas and industry unions such as the Union of Machine Builders of Kazakhstan to identify and capture opportunities for manufacturers in Kazakhstan. Further, TCO proactively identifies qualified suppliers to include in tenders and helps develop qualified suppliers where none exist. TCO uses loans and educational forums to support this effort. We also work hand-in-hand with companies to help them adopt international standards.
TCO placed a pilot order with Nitrogen Plant LLP for liquid nitrogen delivery in support of TCO’s KTL turnaround exercise. Nitrogen Plant LLP used equipment and personnel to TCO’s standards during the turnaround. Additional orders were placed with Nitrogen Plant LLP for upcoming maintenance & repair and infrastructure projects. In April 2012, TCO signed a master contract for nitrogen supply and blowdown of trunk pipelines as part of the SGP/SGI and KTL turnarounds.
HILL Corporation (HILL) plant produces high quality lubricants. The plant is the first of its kind in Kazakhstan. HILL is trying to create a vertically integrated cluster of lubricants by producing a wide range of oils meeting international quality standards. TCO’s logistics group decided to test HILL’s product on certain types of vehicles used by TCO. The test results were favorable so TCO began using domestic company HILL Corporation to supply oil for use in TCO vehicles and partially replaced foreign-made oil.