OREANDA-NEWS. General Director (Chair of the Management Board) of "KazTransOil" JSC Kairgeldy Kabyldin attended the briefing of the Central Communications Service (CCS) on development and maintenance of the system of main pipelines for safe transportation of Kazakh oil to the domestic market and for export to provide multiple routes of domestic energy supplies. The company is now performing this work within the order on improving the efficiency of traditional production sectors and preserving the export potential of the oil and gas sector voiced in the message of President of the Republic of Kazakhstan Nursultan Nazarbayev to the people of Kazakhstan on January 17, 2014 "Kazakhstan's Way - 2050: Common Goal, Common Interests, Common Future".

As Mr. Kabyldin noted, "KazTransOil" JSC today provides transportation of up to 60% of the total oil produced in Kazakhstan. It cooperates with 80 oil producing companies, including such major ones as "KazMunayGas" EP, TCO, "CNPC-Aktobemunaigas", "Mangistaumunaigas", PKOP and many others. At the same time, the company provides supplies of 98% of the total oil supply for the three major oil refineries of the country making a significant contribution to its energy security.

• Modern KazTransOil is a profitable, financially stable and competitive group of companies consolidating companies with international participation and assets on the Black Sea coast, K. Kabyldin said. - We received a record net profit of 63 billion 543 million tenge for 2013, which is 90% above the result of 2012 and 23% above the target. It is almost two times more than in 2012, when it was 33,5 billion tenge. Lack of debt burden, growth of equity by 19%, and implementation of a number of planned activities to improve cost management in 2013 played a significant role in growth of the main key performance indicators of our company.

It is worth to note that in 2013 tax and other deductions forwarded by KazTransOil group of companies to the state budget amounted to over 39 billion tenge, including 30 billion tenge separately by KTO. The key elements of the positive dynamics of growth in the company profit are a balanced tariff policy, cost management policy and well-built production and marketing program of the company that takes into account the real possibilities and prospects for growth. It also contributes to implementation of the tasks set by the President in his January address to the nation.

• Transportation of oil is the main strategic direction of development and a key profit center of KazTransOil ensuring its stable operation, K. Kabyldin continued. - And in the future, I am sure, KazTransOil as a national operator of the country over the main oil pipeline will maintain its competitiveness and growth dynamics. To meet this goal we are now working on implementation of promising projects, and continue to expand production capacities of pipeline infrastructure facilities and build new lines.

In 2012, "KazTransOil" JSC listed its common shares on the Kazakhstan Stock Exchange under the "People's IPO" state program. Thanks to the high financial performance, the company paid dividends totaling more than 70 billion 772 million tenge for 2012-2013. Today KazTransOil securities stably occupy the first place in the KASE share liquidity ranking - KTO takes over 30% of the total volume of trading in shares.

Reference:

"KazTransOil" JSC is the subsidiary of "KazMunayGas" NC JSC and the national operator of the Republic of Kazakhstan on the main oil pipeline. The company manages a network of main oil pipelines stretching over 5000 km and water pipelines over 2000 km long, and provides jobs for more than 8000 people. The production facilities of "KazTransOil" JSC are located in Karaganda, Pavlodar, South Kazakhstan, North Kazakhstan, Atyrau, Mangistau, West Kazakhstan, Kyzylorda, Almaty, East Kazakhstan and Aktobe regions of Kazakhstan.