Report From the “Embamunaygas” JSC BoD Chairman, A.Y. Zhaksybekov for 10 months results in 2018

07 December, 2018

Dear colleagues, good day!

I thank all Emba workers for hard work and excellent achievements in safety. For the last month, there were no:

  • Lethal case
  • No incident registered!

Therefore, I will continue my report traditionally with status of safety and environment issues.

Main objectives of EMG in HSE are:

  • Zero accidents
  • No incidents and spills
  • Minimal negative impact on environment.

Many efforts made in this direction, and currently Company meets all requirements of the legislation. But we need to move forward, work in advance, and implement new approaches which are used in international companies – leaders in HSE.

As I mentioned above, despite that we have achieved good results for the last period, however, there were cases of sustained minor and medium injuries at work places.

The analysis of all cases was performed, and appropriate measures were developed. Additional safety training was organized for employees with demonstration of safety videos in operations. Employees have additionally introduced with Golden rules of “KazMunayGas” parent company, as reliable way to prevent industrial risks. Board of Directors have also developed 14 corporate safety documents. Discussions were held with stuff about the initiatives of “KazMunayGas” JSC – “10 steps to being healthy”, each edition of “Embi Tynysy” electronic corporate newspaper publishes the materials related to safety and industrial safety.

Work is being performed on the increase of Safety culture, video on safe behavior is being rolled out at all operational facilities, canteens and accommodation camps, informational boards and announcements are installed, BBS program is being promoted at all work places. Requirements to first medical aid are enhanced, fire fighting system upgrade is planned and replacement of old fire fighting equipment, additional funds are allocated for HSE issues. Behavior Based Safety (BBS) program is implemented and maintained. As part of last program, managers of all levels in the administration, and operation units, are obliged to visit industrial facilities and fill-in BBS cards. These cards allow collecting information on existing HSE issues, and participation in managerial observations allows resolving issues on findings more quickly.

HSE department continues work in the following directions:

  • “NC “KazMunayGas” JSC policies are being implemented – Program on “100% - Safety”, “10 steps to being healthy”.
  • “Industrial control program” is developed and submitted for BoD approval.
  • Before 15th of each month contractors submit their reports on “HSE status in contractors” which is registered in KISUD system of “NC “KazMunayGas” JSC.
  • Order is issued on introducing in to typical contract on services and works the Appendix “HSE requirements” which envisages fixed penalties for violations of HSE.

As a result of listed measures, the number of incidents in contractor companies has been reduced.

Based on above, I instruct all managers starting from shop supervisors and ending with my deputies to:

-  Enhance the control over safety, tan active participation in BBS program, perform preventive work on HSE issues, ensure the transparency, impartiality, and timeliness of HSE information, control the activity of contractors.

DEAR COLLEAGUES!

 All listed measures are aimed at improvement of HSE situation in the company. I REMIND EVERYONE, that safety issues are not only the responsibility of HSE engineers, it is the responsibility of each employee starting from service personnel and to first manager!

About 284 million tenge were allocated for execution of environmental program in 2017, and about 265 million tenge were spent. About 1.78 billion tenge were allocated for measures in 2018, and for 10 months in 2018 the expenditures to execute these measures were 1, 28 billion tenge.

The Head of Company in detail spoke on production indices of each PSD, accomplishment of plans on Capital Construction, automation of technological process, implementation of new projects and technologies, implementation of Program on construction of intrafield vehicle roads, having mentioned the large and well co-ordinated work of all production block of ‘EMG’ and each Agency in particular. The work results of key departments of AMS were viewed in detail, the problems and their solutions were raised and the exactly instruction were given to coordinating leaders on each issue.

- The Company continues implementing the Program on modernization of material-technical base of social infrastructure. New dormitory at Kenbay oil field and two canteens at Kisymbay and S. Balginbayev oil fields were entered into operation in current year. The Company provides the employees with competitive salary and significant benefits package. For 9 months of Y2018 under Collective Agreement, ‘EMG’ had accomplished the commitments before the employees for total amount – about 258 million tenge. It includes the payments on various kind of support of holders of pension for health care to annual labor vacation, one-time payment on the occasion of baby delivery, entering the retirement, payment on pregnancy and baby delivery, medical insurance of employees and members of their families, expenses of parents for kids holidays in health improvement camps and more. The employees have a right individually select where they want to rest ad recover their health. The Company covers the expenses on sanatorium-resort care of employees, - emphasized A. Zhaksybekov in detail on social questions.

Special focus was given to implementation of HR Policy. For 10 months of current year over  4300 employees of the Company passed through training on mandatory training coursed on Safety, 874 engineering employees upgraded their qualifications, 816 local employees (citizens of Emba) passed though training and re-training -, out of them  - 60 employees, due to optimization of non-major professions. The Program on generation of staff reserves and dual education is successfully implemented. From Y2015 through November Y2018, 74 trainees (the students of Atyrau University of Oil and Gas and High College of APEK Petrotechnique) passed industrial education and internship within last program. All trainees were assigned the qualification "3rd grade Operator on well study". 19 students obtained the second specialty "Operator of dehydrating and desalting units" and 20 – on profession "Operator of oil production". 37 students, who obtained the highest marks upon results of testing, were hired to the Company.

220 employees of ‘EMG’ of pre-pension age and having problems with health used the unique program implementing in the Company on early retirement (from 58-years age with payment of monthly allowance in amount of 48-50% from fixed official salary for up to 5 years). The Program is designed for support of employees who devoted lots of years of life to Emba. The Head of Company also emphasized the conditions of labor and executive behavior, having focused, that the most part of disciplinary sanctions were given to employees for failure or improper execution of official powers, negligence, lack of control from part of leaders of middle management, violations in adherence to safety issues.

In accordance with contractual commitments the Company participates in development of Atyrau oblast infrastructure. Annually the monetary means are transferred for this purpose into a budget. In Y2018, over 1,8 billion tenge is transferred for financing of social project.

- As you see, the Company executes the extensive work in all direction and I thank all staff for endeavors in future development of Emba! At the same time I focus that only 2 months are left to the end. We are entrusted with a serious task to achieve a record for our matured fields - 2 895 tons of oil. And I believe that together with our professional and cohesive staff we will successfully obtain with this not simple task, - resumed А. Zhaksybekov.

Corporate movie about values of the Company and the offers of employees were taken within the reporting meeting with staff.