Tengizchevroil Presented a New Program of the development of local content in Kazakhstan

06 April 2023

The 20th "Atyrau Oil and Gas" North Caspian Regional Exhibition has commenced in Atyrau. During the event, Tengizchevroil LLP (TCO) specialists shared company's plans on Kazakhstani content support and introduced a new program for the development of local content in Kazakhstan.


The development of Kazakhstani content (KC) is a strategic and long–term activity for TCO, with the dual goal of strengthening the local economy and ensuring the company's production needs are met with world-class products, services, and works at a competitive price. Central to TCO's approach for advancing KC is collaboration with current and prospective suppliers, enabling them to understand the international quality and safety standards required for conducting business in the oil and gas industry.


At the exhibition, TCO experts talked about choosing and evaluating suppliers, how to bid on projects, what contractors need to meet the requirements, and the works and services TCO will require in the coming years. Olzhas Lukmanov, who leads TCO's interaction group with external and internal parties, explained at the exhibition's main session how suppliers can sign up for the SEOI system to show their interest in working with TCO, and how they can access the 2023 TCO procurement plan.
- TCO uses a fair and transparent contracting process that effectively uses Supplier Expression of Interest Portal (SEOI) to find potential suppliers. In addition, to increase transparency, TCO publishes its annual contract work and procurement plan on our external website so that market participants are aware of upcoming opportunities to participate in TCO tenders, - shared Olzhas Lukmanov.


Askar Ibragimov, the KC Department Coordinator for TCO's engagement with stakeholders, introduced the company's new program for developing the Zhylyoi district. This program aims to enhance the business opportunities in the region and promote the growth and development of local suppliers. Ibragimov stated that the program offers comprehensive support to the Zhylyoi district's entrepreneurial development, which can potentially increase the share of KC and reinforce the potential of local small and medium-sized businesses in procuring TCO goods.
- As part of the research to study possibilities of local market, we conducted preliminary analytical work. The costs of KC in Zhyloi district are increasing rapidly, and in 2021 amounted to almost $91.8 million, of which KC share was $87.2 million (97%), - shared Askar Ibragimov.

TCO Deputy General Director, Konilkosh Suyessinov said: “We are proud that over 30 years, TCO has invested in its national workforce, created hundreds of thousands of local jobs and used local goods and services, which has stimulated economic activity, not only in Atyrau oblast, but also across other regions in Kazakhstan.”


TCO is a top oil and gas operator when it comes to purchasing Kazakhstani goods, works, and services. In 2022, TCO had a high percentage of purchases from Kazakhstani sources, which was the most in the past six years. Most of these purchases were related to the Future Growth Project and the Wellhead Pressure Management Project.


Since 1993, TCO has provided over $176 billion in direct financial payments to Kazakhstan, including more than $43.6 billion spent on local goods and services. TCO is continuously seeking opportunities to expand cooperation with domestic suppliers, which led to a Kazakhstani content performance of over 70% in 2022, the highest in the past six years.

As a general sponsor of the "Atyrau Oil and Gas" exhibition, TCO participated alongside over 80 other companies from Kazakhstan, Austria, Azerbaijan, Germany, China, the Netherlands, the UAE, and Turkey.