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REFINING
The Shymkent Oil Refinery, PetroKazakhstan Oil Products LLP, built in 1985 in the city of Shymkent, is the newest refinery in Kazakhstan. Currently, the refinery provides about 30% of all oil products in Kazakhstan produced by the three refineries. Shymkent Oil Refinery is the only oil refinery in the south of Kazakhstan, the most densely populated part of the country. Due to its favourable geographical location and high technical capabilities, this enterprise is able to ensure domestic and foreign supplies. When the large-scale Renovation and Reconstruction Project was completed at the Shymkent Refinery in 2018, the quality of the produced fuel increased to K-5 standards, the environmental safety level of production raised, the project capacity of the Refinery was ramped up to 6 millions tonnes a year, and also the production of light-oil products increased to meet the needs of the Kazakhstani market. The Renovation and Reconstruction of the Shymkent Refinery Project was implemented in accordance with National Industrial and Innovation Development Strategy. The amount of investments in the Project is USD 1.8 billion. Completion of the Shymkent Refinery Renovation Project was one of the key events in the industrial development of Kazakhstan. Upon completion of the Renovation Project, PKOP LLP has been widely implementing international experience in the field of advanced new technologies for automation, digitalization, further improvement of the production processes and expansion of the range of products, which became possible, above all, effective and fruitful co-operation at the level of the leading national companies of NC KazMunayGas JSC and CNPC.
The refinery processes crude oil provided by tollers. The charge for the oil refining services is KZT 35,336 per tonne, excluding VAT. The oil product range includes various grades of gasoline (AI-92-K4, and AI-95-K4), diesel fuel (DT-L-K4, DT-E-K4, DT-Z-K4), as well as kerosene-based aviation fuel, liquefied gas, technical sulphur, and fuel oil.
The output product of PetroKazakhstan Oil Products LLP comply with the interstate standards of the EAEU, in particular, the Technical Regulations of the Customs Union TRCU 013, due to the use of modern and high-tech processes, processing technologies from leading world companies and involvement of highly qualified personnel.
As part of the integrated management system PetroKazakhstan Oil Products developed, introduced, maintains and regularly updates the following management systems:
Quality management system (QMS) in line with international standard ISO 9001:2015. The QMS of PKOP LLP is based on the system and process approaches. The system approach is implemented in the management of the company as a system of interrelated processes aimed at achieving a set goals. The process approach allows highlighting the processes that most affect the achievement of the goals.
The QMS of PKOP LLP was certified in line with the updated requirements to the international standard ISO 9001: 2015 in 2017. The certification association “Russian Register – Eurasia” conducts inspection audits to confirm compliance with the requirements yearly.
The Environmental Management System (EMS) in line with international standard ISO 14001:2015. The EMS is the basis for improving environmental performance and overall sustainable functioning. The Environmental Management System is a powerful tool for reducing waste and increasing efficiency without losing profits.
The EMS of PKOP LLP was certified in line with the updated requirements of the international standard ISO 14001: 2015 In 2017. An external re-certification audit of EMS was successfully carried out by the certification association “Russian Register – Eurasia” in Quarter 4, 2020. The documented EMS procedures have been revised. A register of significant environmental aspects of PKOP LLP has been compiled. Measures to reduce negative impacts and improve environmental aspects have been identified.
The Energy Management System in line with the ST RK ISO 50001:2012 national standard. The Energy Management System has been introduced in PKOP LLP since 2014. The latest version of the ISO 50001 standard was published on August 21, 2018, which establishes the requirements for Energy Management Systems (EMS). ISO 50001: 2018 is the second edition of the standard. The ISO 50001: 2018 standard is business-oriented, essential and giving impetus for transformations at the enterprise. The standard is designed to enable organizations to build their systems and processes necessary for continual improvement in energy management, including energy management aspects such as energy efficiency, as well as energy use and consumption. The standard specifies requirements that help to systematically approach energy management based on data and facts. Energy performance metrics and energy baselines, that are two interrelated elements discussed in ISO 50001: 2018, allow organizations to demonstrate improvements in their energy management. To meet the new standards, PKOP LLP has initiated the process of transition to the new version of the ST RK ISO 50001:2018 standard this year.
The Health and Industrial Safety Management System (HISMS) in line with the ISO 45001: 2018 international standard. PKOP LLP has developed and implemented its Health and Safety Management System in line with the OHSAS 18001: 2007 international standard since 2009. HISMS PKOP LLP successfully passed certification in line with the new ISO 45001:2018 standard by the certification association “Russian Register – Eurasia” in 2020. The guidelines on QMS, EMS and HISMS were revised and approved in line with ISO 45001: 2018. The documented HISMS procedures have been revised. A register of high HSE risks has been compiled and approved. Risk mitigation measures have been developed.
According to paragraph 5 of Article 18 of Law of the Republic of Kazakhstan No. 463-IV dated July 20, 2011 “On State Regulation of Some Oil Product Types Production and Turnover” (hereinafter the Law), oil suppliers shall be entitled to purchase and (or) supply to producers of petroleum products crude oil and (or) gas condensate, and (or) refined products (except for low-capacity producers of petroleum products) if there are documents confirming their origin available.
The documents confirming the origin include:
- a documentconfirming the quality(quality certificate) of crudeoiland(or)gascondensate,and(or) refined products;
- a contract for sale and purchase and (or)transfer of crudeoiland(or)gascondensate,and(or)refinedproducts specifying the name of a fieldand the name of the producer of petroleum products,which is providedcrudeoiland(or)gascondensate(incase of sale to the producer of petroleum products) forprocessing;
- shipping documents issued in accordance with the laws of the Republic of Kazakhstan on road transport, railway transport, inland waterway transport, main pipeline and the tax legislation of the Republic of Kazakhstan.
Documents specified in part two of this paragraph shall be provided in hard copy and (or) in the form of an electronic document.
Separately, we note the need to provide supporting documents for the compliance of oil suppliers with the requirements of Article 11-1 of the Law where the oil supplier is recognized as a person related to the subsoil user, subject to at least one of the following conditions:
- the oil supplier owns fifty percent or more of the shares (participatory interest in the charter capital) in the subsoil user;
- the subsoil user owns fifty percent or more of the shares (participatory interest in the charter capital) in the oil supplier;
- the oil supplier and the subsoil user are controlled by a person who owns fifty percent or more of the shares (participatory interest in the charter capital) in the oil supplier and the subsoil user.
At the same time, PetroKazakhstan Oil Products LLP in its activities eliminates any barriers to admission of oil suppliers and oil producing enterprises of the Republic of Kazakhstan to refining services. A request for the crude oil refining services and notarised copies of the list of documents (Law of the Republic of Kazakhstan No. 500-V dated April 9, 2016) shall be submitted by registered mail or by courier to the following address: 244-A Nursultan Nazarbayev Ave., 050059 Almaty.
