Kazakhstan Petroleum Association
What does Kazakhstan Petroleum Association stand for?
The Kazakhstan Petroleum Association or KPA as it is known, has served as a forum, since 1994 for 37 Kazakhstani and foreign oil and gas companies, operating in Kazakhstan. Throughout this time, the KPA has held regular meetings of its member companies in Almaty. Due to the increased pace of activity in the energy industry and the establishment of a new capital, the KPA is also conducting monthly meetings in Astana.
The main goals of the KPA are to:
• facilitate exploration and production activity in the petroleum industry in Kazakhstan; and,
• share non-proprietary information between member companies and the Government
Current Issues Facing the KPA
As the Kazakhstani petroleum industry develops, there is a clear role for the KPA to constructively engage in dialogue with all interested parties to ensure a smooth transition to a market economy in which the petroleum industry operates, with due responsibilities to the communities within which it works. The KPA works in a manner to solve current problems jointly, involving all the membership, and works towards common goals through its subcommittees. These subcommittees act as clearing houses for areas of common interest and can recommend ways forward to assist members and where necessary (or requested) to allow the KPA to advise government bodies on problems having impact on the industry.
Members of the KPA subcommittees participate in various governmental projects to establish links with governmental bodies. The KPA is represented in a number of Governmental Working Groups and has the opportunity to share experience, to exchange views and to contribute to the development of Kazakhstan’s legislative database. Currently KPA members are actively involved in discussions with the relevant Ministries and state bodies on issues related to a unified routing system for transportation of crude oil, tariffs methodology, transfer pricing, foreign labor licensing, environmental protection, taxation, etc.
Current Subcommittees Under the KPA
• Finance & Tax;
• External Affairs;
• Aviation;
• Human Resources;
• Legislation;
• Health, Safety & Environment;
• Recently established Petroleum Engineering; and,
• Local Oil Accountancy Group
• The Transportation Networking Group
Finance and Tax, and Human Resources Subcommittees have held bi-annual conferences since 1995 and as of last year, conducted bi-annual conferences on petroleum engineering issues. These conferences are used as an opportunity by the KPA membership to discuss current problems, news and interpretation of current tax, labor or other legislation, to listen to the views and opinions of guest speakers, from a variety of different companies, who are professionals in their own field.
KPA members encourage further oil industry investments in Kazakhstan, in close cooperation with partners such as the Foreign Investors Council, the International Tax and Investment Committee, EuroBAK, the Mining Association of Kazakhstan, AmCham, USAID and others.
Most Recent Achievements
Last year the KPA was proud to provide financial support for the publishing of a Russian-Kazakh-English Oil and Gas Terminology Dictionary, which in turn were donated to universities, institutes and libraries, in a number of cities where member companies have operations. In addition, the KPA has donated dictionaries to associated oil industry state organizations, scientific institutes and to veterans of the oil industry. The KPA and its members continuously support young talented Kazakhs by granting them scholarships and sponsorships at local educational institutes. Many of the KPA members proactively participate in community development activities and have been awarded Honorary Diplomas by the President of Kazakhstan for their sponsorship efforts in 2000.
KPA Contribution into the Promotion of Local Content
The KPA is pleased to announce the launch of its new web site: www.kpa.kz. The site contains information about the Association, including:
• history of the Association;
• news on member companies;
• links to members’ web sites;
• industry news;
• conferences/seminars;
• photographic illustrations;
• section for posting comments/questions
• local suppliers database etc;
The KPA welcomes the Government’s policy of supporting the development of small and private business in Kazakhstan. The main purpose for creating the web site was to allow the KPA to have its own available database of Kazakhstani goods and service providers. The database has been developed by the KPA and is continuously updated. Through this initiative, the KPA hopes to promote Kazakhstani goods and services required by the oil and gas industry and to help local suppliers to build business relationships with KPA members. Information on the database is collected from different sources: exhibitions, KPA advertising in magazines, newspapers and incoming inquiries.
Although the main task of the KPA is to provide a forum for its members and represent their common interests, the Association is constantly extending communication lines to the business community. The KPA exhibits at the annual Kazakhstan Oil and Gas Exhibition and Conference (KIOGE), publishes newsletters twice a year, holds bi-annual press conferences and regularly updates the web site.
Our address: Tel.: (7 3272) 910-367
Suite 701, 38 Dostyk Avenue, Fax: (7 3272) 917-653
Almaty, 480100, E-mail: kpa1@nursat.kz
Republic of Kazakhstan, Web-site: www.kpa.kz
Table of contents
Eurasian Economic Union: a Long Way to Go Nigmatzhan Isingarin
Restructuring and Privatisation of Kazakhstan’s Power Industry: Basic Results and Achievements Kenzhemurat Dukenbayev
Development of Mineral Resources in Kazakhstan: a Five Year History Elvira Jantureyeva
Transfer Pricing in Kazakhstan BILL PAGE
Implementing Subsoil Use Contracts: Contractor’s Obligations and Control over their Fulfillment Olga I. Chentsova
Excess Profits Tax in the Republic of Kazakhstan: Methods and Problems Arising when Calculating Excess Profits Tax Anvar Yaushev
Rights to Land for Foreign Citizens, Persons without Citizenship and Foreign Legal Entities in the Republic of Kazakhstan Yuliya Mitrofanskaya, Saida Akhmetova
Court of Arbitration in Kazakhstan: Opportunities and Prospects Pyotr Greshnikov
