1. Scientific Research Center of Kazakh Institute of Oil and gas in Special Economic Zone Park of Innovaion Technologies (SEZ PIT) «Alatau» KIOGE Conference (Almaty) 04/10/2012

2. JSC « KING » activities KIOGE Conference (Almaty) 04/10/2012 Petroleum industry Energy industry Engineering activities Scientific research activities 2  JSC “Kazakh institute of oil and gas ” - affiliated company of NC “KMG” JSC;  Objective of JSC “KING”: Integrated science and engineering support of projects for NC “KMG” JSC and petroleum industry

3. JSC « KING » and its affiliates KIOGE Conference (Almaty) 04/10/2012 3 2002 2003 Caspymunaygas, Atyrau KazNIPImunaygaz, Aktau Petrodata Kazakhstan, Almaty RC «Kaspymunaygas», Atyrau 2005 2011 2004 JSC «KING» / Halliburton Energy Services Scientific research center (SEZ PIT, Almaty)

4. History of SEZ PIT KIOGE Conference (Almaty) 04/10/2012 4  Decree of the President of the Republic of Kazakhstan “Concerning establishment of SEZ (Special Economic Zone) PIT (Park of Information Technologies)” No 1166 dated August 18, 2003;  Ideal area for innovation development of RK;  Around 70 registered companies. Territory – 163,02 hectars

5. Tax Code to the members of SEZ PIT « Alatau » KIOGE Conference (Almaty) 04/10/2012 5 outside PIT,% inside PIT, % Corporate tax reduced200 Land code~0 1,50 Social tax110 Tax Free in the SEZ120 Imports~0 Exports~0

6. Scientific Research Center JSC « KING » KIOGE Conference (Almaty) 04/10/2012 6 Territory – 7.2 hectars Laboratory building floor area – 4 318 m2 Laboratories – 7 lab.  Establishment of scientific research special-purpose center in oil-and-gas industry to attain the scientific-and-innovation and scientific-and- technological impact;  Commercialization of innovation developments and technologies to increase the socio-economic impacts;  Building-up of unified complex combining the scientific research and educational sector;

7. General plan KIOGE Conference (Almaty) 04/10/2012 7

8. KING RDC planned composition  Administration (7 768 м 2 ): –Geology and geophysics group; –Exploration group; –Projects group; –Joint ventures; –Training center.  Laboratories (5 360 м 2 ): –Геохимическая лаборатория; –Лаборатория биостратиграфии и седиментологии отложений/ бассейнов; –Универсальная лаборатория общего пользования; –Лаборатории по исследованиям попутных продуктов нефтедобычи; –Лаборатория физики пласта и механики фильтрации потока жидкости; –Лаборатория нефтехимии и энергоаккумулирующих веществ; –Лаборатория альтернативных источников углеводородов. KIOGE Conference (Almaty) 04/10/2012 8

9. Geochemistry studies  Vitrinite analysis;  TOC and sulfur;  Rock Pyrolysis;  Chemical extraction analysis ;  Isotope analysis. 9

10. Biostratigraphy and sedimentology 10  Sedimentology;  Geochronology and datation;  Fluid inclusion analysis;  Diagenesis;

11. Universal laboratory 11  Rock and fluid samples preparation ;  Thin and thick section preparation;  XRD analysis;  Isotope analysis;  Computer tomography;

12. Petroleum associated products investigation laboratory 12  Petroleum and petroleum products properties investigation laboratory;  Heavy petroleum residue and asphalt laboratory;  Sulfur and associated products disposal laboratory.;  High pressure and high temperature laboratory.. Reservoir petrophysics and fluid flow filtration mechanics laboratory Phase and relative permeability, as well as the residual-oil saturation and displacement efficiency on application of various displacement agents for the purpose of oil recovery increase.

13. 13 Alternative hydrocarbon sources laboratory Focused on prospective recovery of liquid and solid hydrocarbons out of the Republic of Kazakhstan low-grade stock such as:  bituminous rocks,  agricultural industry wastes,  as well as out of energy-producing fuel: lignite coal, kerogen shale, and etc..

14. Relations with companies and centers The Memorandum of Cooperation has been concluded between KING and below stated establishments:  “KazGeology” JSC;  “Exploration and Development Scientific Research Institute PetroChina/CNPC”;  Agreement on Scientific-and-technological and Innovation Cooperation dated 13.06.2011 between “KazMunaiGas” NC and China National Petroleum Corporation CNPC.  Axens Company;  Nancy University Laboratory (France); All interested companies on mutually beneficial conditions are invited to mutually beneficial cooperation. KIOGE Conference (Almaty) 04/10/2012 14

15. KIOGE Conference (Almaty) 04/10/2012 15 Ideology of forming system activity is from fundamental researches to technological upgrade. The system will integrate the following interrelated sections :  Scientific research;  New process solutions;  Improvement of oil-and-gas industry engineering personnel qualification Results

16. KIOGE Conference (Almaty) 04/10/2012 16 THANK YOU FOR YOUR ATTENTION!