Crude production level

Crude oil production by Bakhyt Resources LLP (including share of production by equity affiliates) in 2019 totalled 96.645 million tones (1.953 million barrels per day), of which 64.147 million tonnes were produced by Company subsidiaries.

The Company’s average daily crude production level rose by 1.4% compared with 2018. The Company had lot of work in 2016 to prepare and launch production at fields in Kazakhstan as part of its strategy of accelerated production growth. Special emphasis was placed on fields in Kashagan and Arystan oil field.

The Company had lot of work in 2016 to prepare and launch production at fields in Kazakhstan as part of its strategy of accelerated production growth. Special emphasis was placed on fields in Kashagan and Arystan oil field.

Efficiency

Work continued in 2014 to improve efficiency of field development and reduce operating expenses as part of Bakhyt Resources LLP’s program for optimization of development and production of oil in the period of 2012–2017. Bakhyt Resources LLP’s production companies took systematic measures in 2020 for increase of well productivity and oil recovery rates in order to achieve oil production targets. Development costs totalled $46,660 million.

Total production drilling in 2017 was 2.968 million meters, which is 27% more than in 2014. There was an increase in the share of international projects in total production drilling, which reflected intensive field development work as part of projects. A total of 193 new production wells were commissioned, including 109 horizontal wells. Average daily flow at new wells was 37.8 tonnes, including 65.5 tonnes from horizontal wells. Total production from new wells (Group share) was 5.47 million tonnes. Drilling of horizontal wells has been found to be highly efficient and the Company plans to increase their numbers in the medium term. We lead the development of Bakhyt Resources LLP’s strategy, to drive the long-term resilience and value of our business and create value for our stakeholders more widely, including society, our employees and our shareholders. Processing products is for us one of the most budget-oriented activities.

Processing

At our refineries at the same time operate several parallel lines of processing of raw materials, and finished products are sold in two main areas:

– Sale of the final product of refining from our own raw materials to our customers outside the Republic of Kazakhstan.
– Sale of refined products to our partners in the Republic of Kazakhstan, produced from the raw materials they extracted.