Prevention and Response to Oil Spills

GRI 306-3

KMG considers continuous preparedness for oil spill response (OSR) one of the key priorities of environmental safety, especially in offshore operations in the Caspian Sea – a highly vulnerable ecosystem due to its landlocked nature.

The Company enforces strict environmental requirements during offshore oil operations, conducts baseline environmental monitoring prior to the start of activities, and assesses potential social and environmental impacts. Impact monitoring, emission monitoring, and emergency monitoring are carried out during and after operations.

Before the start of offshore drilling, KMG ensures full preparedness for responding to all potential oil spill emergencies. Upon completion of operations, continuous environmental monitoring of the plugged wells is conducted, which includes:

• Air quality control;
• Monitoring of marine water and bottom sediment contamination;
• Observation of biodiversity status;
• Laboratory analysis of samples;
• Photo and video documentation of plugged wellheads

During offshore operations, KMG strictly adheres to the following principles:

• Strict compliance with design solutions to prevent deviations from approved environmental standards;
• Zero discharge principle – all waste and wastewater are brought ashore;
• All vessels are equipped with fish protection devices and are prohibited from discharging bilge water;
• Ban on operations during spawning season (from April 1 to July 15) to preserve marine bioresources;
• Ban on fishing from operational vessels in oil production zones;
• Ban on well testing and flaring of hydrocarbons during nighttime to minimize environmental impacts;
• Adherence to a special environmental regime in marine contract territories.

In 2024, a total of 351 oil spills were recorded onshore, with a total volume of 284 tonnes. The main cause of spills was pipeline ruptures due to corrosion. These spills occurred at onshore facilities during the production and transportation of hydrocarbons, primarily due to wear and tear of steel pipelines and collector depressurization. No offshore oil spills were recorded.

The Company is systematically working to reduce the number of accidents and ruptures in field pipelines. Key measures include timely diagnostics, reconstruction, equipment replacement, use of corrosion inhibitors, and pipeline cleaning. These actions are aimed at improving the integrity and reliability of the pipeline infrastructure.

KazTransOil JSC, in close cooperation with law enforcement authorities, has successfully eliminated criminal illegal taps into trunk oil pipelines. While two cases of illegal tapping were recorded in 2019 with damages totaling
KZT 6.4 million, no such incidents were reported from 2020 to 2024. This achievement was made possible through:

• Enhanced monitoring of mobile teams using GPS systems and regular pipeline patrolling;
• Implementation of the “Optosense” monitoring system for pipeline protection.

The Company also pays particular attention to maintaining constant readiness for OSR, treating this area as an unconditional priority.

KMG continues to improve its oil spill prevention and response systems, enhancing the environmental safety of its offshore operations and reducing potential risks to the environment.