KMG International message
Ladies and gentlemen,
KMG International (KMGI) welcomes the organization of the World Petroleum Council (WPC) Expert Workshop Bucharest 2019 by the Romanian National Committee, as part of the International WPC program, between two congresses Istanbul 2017 and Huston 2020. The event offers a broad range of topics focused on hydrocarbons and we see this as another proof of Romania assuming a leading role in energy policies in the region.
Taking this topic into consideration, namely HC recovery efficiency in the Mature Fields, I can say that NC KazMunayGas (KMG), our Group’s shareholder, is one of the leading companies in the field hydrocarbon exploration and production in Kazakhstan. Kazakhstan has one of the largest world’s total oil reserves, with 62% of the country being occupied by oil and gas area and 172 oil fields. Most of the operational fields are mature ones and are difficult to recover. This allows us to have a particular focus and, thus, relevant expertise, on increasing recovery efficiency in the mature fields and innovative technologies.
During the past year, as part of the company’s strategy to develop and ensure hydrocarbon production growth, KMG has initiated, alongside other companies in the energy industry, new projects for exploring and developing hydrocarbons in the Caspian Sea. The liquid hydrocarbons are refined by three refineries in Kazakhstan and two plants in Romania and sold through one of the most important filling stations chain in the region. It allows us to bring along our focus on energy efficiency from upstream to downstream as we constantly invest in new technologies that help increase energy efficiency in all components of the production and selling process.
Taking into account that one of WPC’s goals in organising this type of events is to bring into discussions the industry’s impact on local communities and environment, and best practice with regard to social responsibility and development, we are pleased to say that sustainability is one of KMGI’s commitments to identify and provide economic and sustainable solutions for supplying energy.
As part of that commitment, KMGI and the Romanian Government have established last year the Kazakh – Romanian Energy Investment Fund. In this respect, the construction of a cogeneration plant on the Petromidia platform is one of the projects approved this year by the Fund’s Management Board. Furthermore, KMGI will invest 1.9 million dollars for upgrading the central heating system from Vega refinery in Ploiești, to increase energy efficiency and to reduce the refinery’s footprint on neighbourhood areas and the environment.
Lastly, bearing in mind that costs and recovery are topics to be put on the table, as well as identifying the remaining resources in this type of fields, I am looking forward to the discussions on best practices and technologies used in hydrocarbons exploration and production.
Proxy of CEO, KMG International N.V.