Green Energy and Sustainable Development
Karachaganak: Green Transformation Strategy
Carrying out its activities in strict accordance with environmental standards and requirements, minimizing the impact on the environment, while maintaining high production performance - this is the task carried out consistently and systematically by Karachaganak Petroleum Operating B.V.
Global challenges and climate change today require a revision of the relationship between nature and human. Therefore, a course has been set at Karachaganak to achieve hydrocarbon neutrality. KPO has a good starting position for this challenging task accomplishment. The company has implemented and successfully operates environmental and energy management systems in accordance with the international standards ISO 14001 and ISO 50001. It was at Karachaganak that the technology of gas reinjection into the reservoir was first introduced, which made it possible to reduce the amount of gas flaring. Thus, in 2021, the gas utilization rate was 99.94%, and the volume of gas flaring was only 0.06%, which is a world-class achievement.
KPO implements a number of comprehensive environmental protection programs covering all aspects of production activities. One of the main is the environmental control program, the main purpose of which is the monitoring of pollutants, wastewater discharges, waste processing and disposal, as well as the impact on air, soil, surface and groundwater. Work continues on the action plan for the conservation of biodiversity, scheduled for 2021-2023. Based on the results of the research, reports are issued, according to which plans are outlined for further actions. The implementation of environmental protection measures in the course of well testing also makes it possible to significantly reduce the total volume of pollutant emissions into the atmosphere.
There is a set of measures for the conservation of water resources. Where possible, the treated water is reused. For example, treated domestic, industrial and storm water is used in such types of work as drilling, making of drilling fluids, irrigation of forest planting, dust suppression on roads and construction sites. As part of the digitalization project, a mobile application was developed to work with the corporate geographic information system portal, which allows the use of interactive maps in the field.
A project has also been implemented companywide for online monitoring of energy efficiency indicators and for the main energy-intensive processes and equipment. As for equipment, Karachaganak uses only the highest quality equipment that meets international standards. This allows us to strictly adhere to the highest environmental standards.
The high responsibility of all divisions of the team is the basis for an extensive and multifaceted work to achieve carbon neutrality. Last year, an in-house working group "KPO-365" was created, the main goal of which is to ensure the profit, sustainability and relevance of the company for all stakeholders in the long term. Among the top-priority key tasks, the group named as the transition to the “Green Transformation of KPO”. To determine the ways of effective work in this direction, a workshop was held with the participation of the Parent Companies Eni, Shell, Chevron, LUKOIL and KazMunayGas.
The purpose of the workshop was to understand the expectations of each company, share experience and agree on the prospects for decarbonization of the Karachaganak field with its stable profitability. The participants spoke about the need to respond in a timely manner to the challenges of the time, to use all opportunities to preserve long-term business, thereby preserving jobs for today and in the long term. It was also discussed that KPO aims to become the first company in the world, which is a large-scale producer of hydrocarbons and energy, which will achieve zero greenhouse gas emissions.
This is a difficult but very important period. There was an exchange of practical experience in the implementation of the energy transition strategy, projects to capture and reduce greenhouse gas emissions, energy efficiency and the use of renewable energy sources. As a result of the workshop, a Statement on the concept of decarbonization of the Karachaganak field was adopted and a commitment to develop clear plans to achieve the set goals by the end of 2023.
But even now, KPO employees are well aware that better environmental performance can be achieved at every workplace. Evidence of this is the high assessment of environmental work carried out at Karachaganak. Its important component is to improve the environmental awareness of both its employees and employees of contractors. In 2021, more than 80% of employees were trained. The training included specialized courses on the new Environmental Code, environmental and energy management systems, as well as general education courses to increase environmental culture and awareness.
It is impossible not to mention that all the planned KPO plans are being implemented, despite the difficulties associated with the pandemic. Caring for a person has always been and remains the most important priority in the Karachaganak team. From the very beginning of the spread of COVID-19, KPO has done everything to protect its employees from illness and help the people of the region. Necessary equipment and materials were purchased for healthcare institutions. Sponsorship was provided for a solid amount. A program of preventive work is being carried out. KPO personnel have been vaccinated and are undergoing revaccination. As far as health is concerned, disease prevention is actively promoted at KPO.
Joint efforts always bring better results. KPO became the winner of the Green Office 2021 competition. More than hundred organizations participated in it. KPO was included in the list of winners in the category of industrial enterprises. One of the first among the subsoil users of Kazakhstan, the company supported the transition to the concept of "green office", which provides for monitoring the environmental performance of the office, regular reporting and environmental training of employees.
A significant event was the awarding of KPO Grand Prix of the Republican competition on corporate social responsibility. The award was presented at a solemn ceremony held on the eve of the 30th anniversary of Independence in December last year. KPO was presented in three nominations at once: “The best socially responsible enterprise”, “The best enterprise in the field of labor protection” and “For contribution to the environment”.
Evidence of high environmental responsibility is the international forum "Uralsk Green Forum", which KPO annually holds together with the Akimat of the West Kazakhstan region with the participation of heads of relevant ministries and departments, representatives of regional companies involved in waste processing. During the dialogue, a wide range of topical issues on waste management, new principles of environmental legislation in the development of the "green economy" are discussed. The analysis of the problems raised, with no doubt, contributes to their solution.
At the 4th Forum, held in October 2021, it was said that KPO is in fact confirming its Green Transformation Strategy. And the solution of environmental problems is the basis for sustainable socio-economic development of the region. It cannot be achieved without the participation of big business.
Today Karachaganak Petroleum Operating B.V. has built an effective management system for all risks and hazards that may be present in such production as an oil and gas condensate field. This is the result of a great deal of work aimed at achieving high results, creating a business in which people with high environmental responsibility and care for the environment play an increasingly important role.