Rustam Suleymanov, General Director, presented to the labor collective the results of the previous year financial and economic activities, as well as 2019 plans and tasks of the KazTransGas JSC Group of Companies.
The main gas transportation last year amounted to 111,567 million m3, including domestic transportation of 18,151 million m3, with 24,243 million m3 transported for export and 69,173 million m3 of international transit. 2018 saw the sale of 22,916 million m3 of gas, production of 349 million m3 of natural gas and 19 thousand tons of gas condensate. KazTransGas JSC net profit last year was 155,975 million KZT.
Rustam Suleymanov also described the key financial events. Thus, last November, the international agency Standard & Poor’s raised long-term issuer default rating in both foreign and national currency of KazTransGas JSC and its 100%-owned subsidiary - Intergas Central Asia JSC to BB, with Stable Outlook.
In 2018, Asia Gas Pipeline LLP made an early repayment of USD 850 million, in addition to the planned loan repayment of USD 1.2 billion.
In April 2018, KazTransGas JSC attracted a USD 200 million syndicated loan to finance the project “Construction of Three Gas Compressor Stations at the Beineu-Bozoi-Shymkent Gas Pipeline.”
According to KazTransGas JSC General Director, in January 2018, NC KazMunayGas JSC and PetroChina reached an agreement to increase Kazakhstani gas export to China to 10 billion cu m/year.
Rustam Suleymanov gave a special attention to the blockchain technologies actively introduced by KazTransGas JSC and used to monitor, service, repair gas transportation infrastructure and control gas meters.
The main events of the reporting period in terms of the development and upgrade of the gas transportation system were the completion of the project to raise the output of the Kazakhstan-China gas pipeline (“C” line). Commissioning of the third gas pipeline (“C” line) enabled increase in the capacity the Kazakhstan-China gas pipeline to 55 billion m³ per year.
Also, the construction of three gas compressor stations at Beineu-Bozoi-Shymkent pipeline was completed, allowing to reach the capacity of 13 billion m3/year. The feasibility study for the project “Raising the Output of Kazakhstan-China Gas Pipeline” (“A” and “B” lines) to 40 billion m3 per year” and cost and benefit analysis for the project “Increasing the Capacity of Beineu-Bozoi-Shymkent Gas Pipeline to 15 billion m3 per year” are ongoing.
Additionally, in the context of gas infrastructure development in the northern and central regions of the Republic of Kazakhstan, 2018 witnessed the development of the design estimate documentation for the construction of the Saryarka gas pipeline. The work on the gas infrastructure development in the regions continues.
KazTransGas JSC keeps implementing its innovation and technology-related projects, in particular its pioneering project “Methane Extraction from Karaganda Coal Basin Layers.”
The Director General noted that special attention had been paid to occupational health and safety issues in previous year. In accordance with the approved business plan, the Rules on the Provision of Social Support for KazTransGas JSC Employees and the existing Collective Employment Agreement, certain social welfare work was carried out for employees of the Group of Companies.
To summarize, KazTransGas JSC operations for 2018 were assessed positively. At the end of the reporting meeting, Mr. Suleymanov said that in 2019 KazTransGas JSC would continue achieving its strategic goals, and he outlined the main tasks and plans.