PetroKazakhstan Oil Products: Concern for People is the Priority

The highest values in Kazakhstan are people, their life, rights and freedom, as stated in the Constitution, that’s why special emphasis is laid to the social responsibility of business in our country. President Nazarbayev addressed directors of companies during his speech at a business forum in Zhezkazgan in January 2008, and required that they gave more attention to work conditions and closely observed safety regulations.


“First of all, you are legally and morally responsible for human life and health.”


President emphasized that Government and business must work together to strengthen nation’s social solidarity and the moral value system of a developed market society.
Establishing favorable, socially-friendly and conflict-free business environment is the main motive for business people’s participation in this important work. Head of State emphasized that foreign companies working in Kazakhstan should also be aware of it. Moreover, businesses should make their input in the social sphere.


PetroKazakhstan Oil Products is the owner of Shymkent refinery and one of the major divisions of PetroKazakhstan Group, whose shareholders are China National Petroleum Corporation (CNPC) and KazMunaiGas National Company. Shymkent refinery began its work in 1985, operating in oil refining and fuel production. It produces diesel, gasoline, kerosene and other petroleum products. The plant’s annual capacity is 5.25 million tons.


In pursuance of laws and HR policy priorities, company management provides its employees with wide opportunities for continuous improvement of skills and abilities, and development of management and other professional skills. In 2011, the company invested more than KZT 64M in personnel training, KZT 3.8M in the education program, and KZT 3M in the dependent child program. In general, PKOP’s planned 2011 social payments to employees included: KZT 7M for personnel trips to resorts, KZT 12M for corporate celebrations including gifts, KZT 19.8M for annual retirement and dependents allowances, KZT 4.5M for lump sum retirement benefit, and KZT 900K for extra child care benefits. In addition, KZT 11.1M was invested in monetary gifts to jubilee employees, KZT 9M in financial support on medical treatment, and KZT 48.1M in health insurance.


The company’s input in the region’s social sphere development is the Memorandum of Social Support that has regularly been signed for the past 4 years between Akimat of South Kazakhstan Oblast and PetroKazakhstan Oil Products Management. Under 2010 Memorandum the company invested KZT 158M in the following: potable water line construction in the new village of Zhuldyz rural district (KZT 43M); bridge from Ordabasy square to park project (KZT 15M), Youth House project of KZT 55M, routine repairs of “Meyir” Veterans House in Sairam district (KZT 15M), and the Badam River asphalt road project of KZT 30M. Under 2011 Memorandum, the company will continue supporting the population of the Oblast, and will invest KZT 150M. However, PKOP’s support of South Kazakhstan people goes far beyond the limits of Memorandums. Every year more than KZT 40M and about KZT 50M in 2011 are being allocated for social support.


The company has sponsorship projects that have already become traditional. PetroKazakhstan has been the general sponsor of Republican charity event “Women of Kazakhstan Against Poverty” during 5 years. This event is conducted jointly with Women, Family and Demographic Policy Commission under South Kazakhstan Akim. In 2010, sewing machines and equipment were provided under additional jobs campaign to the Women’s Councils of Saryagash, Makhtaraaral, and Sozak Districts, and Kentau and Arys towns. In 2011, socially important projects implemented by the company under this campaign totaled KZT 2M. Medical equipment for children’s health facilities in Shymkent and 15 other districts had been acquired. The company has been the sponsor of Sairam orphanage No. 4 for 17 years. Each year, the orphanage receives about KZT 4M to create conditions for living, learning and personal development of children. The company plans to provide USD 25,000 to the orphanage in 2011.


Sponsorship has been provided to school No. 65 each year for over 17 years to carry out repair works and acquire necessary teaching materials. Last year the school received a sponsorship of KZT 1.5M and the company is expected to provide the same amount in 2011. Last year, the company equipped a computer room for KZT 765K in school No. 54 of Karabastau village, gave KZT 700K for yearly repairs of classrooms, and donated clothes and shoes to 50 children from underprivileged and large families for KZT 275K on the eve of school year. The company plans to grant about USD 15K to the school in 2011. The company has been supporting the only Ballet School in South Kazakhstan Oblast from the day the school has been established 10 years ago. Last year, the company allocated KZT 2M for the school’s creative projects, the same amount was granted in 2011. Ballet School students were given the opportunity to participate in the International Children and Youth Creativity Festival “Talisman of Luck” in the Turkish Alanya. They won 3rd degree cup and 2 diplomas.


PKOP supports talented youth of our region. Promising young scientists and athletes are given support to participate in large competitions and festivals, and national and world championships. In 2010, the company sponsored S. Tulemyrzaeva, a talented high school student from Shymkent Kazakh-Turkish Lyceum, who participated in an international chemistry competition in Brazil and won the 1st place. The refinery supported a young talented athlete Tashbulatov who took part in important tennis tournaments of Kazakhstan and won first places. The company gave about KZT 3M for similar purposes in 2011. In August, supported by PetroKazakhstan, Dana Maydan, a junior school student from school No. 65 took part in Star Rain International Kids Contest in Prague, where she won the 1st place. Dastan Tashbulatov ranked 1st in Kazakhstan tennis tournaments. Margaret Cherezova supported by Shymkent Refinery took part in the Championship of Kazakhstan, where she took the 2nd place, and she ranked 6th in a tight competition in the International Weightlifting Universiade of Beijing.


Shymkent refinery has been helping people of Zhuldyz and Sairam rural districts in solving social problems for several years. Sponsorship included telephone communications, water supply, and a transformer purchase and installation projects.


The company pays attention to veterans. Council of World War II Veterans has been receiving sponsorship on Victory Day each year. KZT 1M was granted in 2010. In 2011, PKOP provided about KZT 3M to help seniors and veterans, deprived and disabled.


Company management, of course, remembers about its own 1310 employees. They can go in for sport to a rented gym, and take active part in the annual sport competitions organized by Shymkent Refinery. To promote healthy lifestyle among its employees the company allocated USD 15K in 2011. Each year, Shymkent Refinery honors 14 internationalist-soldiers working there. At an official ceremony, company management congratulates them on the Day of the Withdrawal of Troops from Afghanistan and gives presents.


This year, the company bought out medals and dress uniform for its Afghan veteran-employees for a total of KZT 350K. Annual periodicals subscription is granted for PKOP retirees, disabled, families entitled to survivor’s benefit, and former employees. Each of them was subscribed to two newspapers in 2011. In 2010, 140 PKOP retirees received financial aid totaling KZT 11.2M pursuant to the collective agreement. The refinery buys free spa resort vouchers worth over KZT 7M for its employees each year. This measure of employee social support has come to reality thanks to a collective agreement made between the refinery management and PKOP trade union.
This year, the company plans to sponsor the Boxing Federation athletes participation in international and in a number of domestic sporting competitions, as well as the development of kids boxing programs in the country. Financial aid will exceed KZT 70M.

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