KMG Group has implemented the unified personnel training and development process in accordance with the approved Personnel Policy. The needs for training the manager employees, administrative and managerial staff and engineering and technical personnel are based on Individual Plan of Development and Needs submitted by immediate supervisors of employees based on the objectives of a structural subdivision. The manufacturing personnel is trained based on assessment of professional knowledge, skills and needs of business. Thus, the planning of employee training is clearly regulated and interrelated to particular goals and tasks of the business. KMG annually provides training and development for the personnel, models new approaches and programs of employee development of KMG Group of Companies. The employees are trained on continuing basis under compulsory programs – industrial safety, occupational health and safety, basics of fire safety. At the moment, these programs for KMG’s employees are provided on the platform of remote training system of KMG’s subsidiary – KMG Engineering LLP. The competence development centre of KMG Engineering LLP holds a license to provide such training and issue certificates of a standard form. Training of employees of our Company on in-company resource allows adapting the programs in accordance with the internal requirements of the Company and provide trouble-free access to training courses. The average annual number of academic hours per one employee makes up 22 hours (16.7 hour in 2021, 15 hours in 2020), including one man – 20 hours (16.4 hour in 2021, 14.6 hour in 2020), one woman – 31 hours (18.6 hour in 2021, 16.0 hours in 2020). At the same time, we point out that the training and development of employees are provided irrespective of gender and position held.

BASIC topics OF IMPLEMENTED employee TRAINING and career enhancement PROGRAMS

incidents at work, the training of the drivers of KMG Group of Companies was started under the ‘Defensive Driving’ program in accordance with the international standard of the ROSPA (United Kingdom). In 2022, more than 350 drivers, who deliver/transport the employees and transport dangerous cargoes of Karazhanbasmunay JSC, Oil Transport Corporation LLP, and KMG-Security LLP, were trained. It is planned to implement the ‘Defensive Driving’ program for the drivers of all categories of KMG Group of Companies during subsequent years.

The issues of sustainable development, including energy transition, greenhouse gas emission, decarbonisation and other aspects, are also important and urgent for the Company in general and for achievement of its strategic goals. The employees annually improve their knowledge and skills in this direction in accordance with the world standards and trends.

In 2022, the employees were trained under the ‘Sustainable Project Management’ program (Green Project Management) within the framework of which the best practices of applying the concept of sustainable development in the projects were studied, and under the ‘Energy Transition’ program, with involving the experts and the management of the corporate centre and subsidiaries.

The key employees engaged in the implementation of the strategically significant projects according to the international standard of project management of the IPMA are certified on an annual basis.

In 2022, 9 employees were certified for conformance to IPMA Level C, IPMA Level D – 12 employees. Also, 5 employees of SDEs were certified for Green Project Management.

Furthermore, the project management experts of KMG and external providers conducted training courses for the project personnel of KMG and SDEs in planning the projects using Primavera, MS Project and Mind Manager, generating the structure of work in the projects, organizing construction operations, using FIDIC contracts.

At the year-end, the total quantity of employees received training in various domain-specific fields of project management made up 588 people.

In the context of development of the transparency policy, special attention is paid to the issues of procurement activities; thus, to increase the level of competence of the experts in the field of procurement activities, the program was launched for the experts in the field of procurement of the Corporate Centre and subsidiaries of KMG Group – ‘New procedure for procurement and management of procurement activities of Samruk-Kazyna JSC’ and IEPS 2.0. More than 450 employees of 37 companies of KMG Group participate in the program.

The work continues on the project of working out and developing the Plan of succession of the key positions of KMG Group of Companies – MANSAP.

The program is implemented to develop the successors of A pool – Leaders’ Education Program – together with SKOLKOVO MMS. The members of A pool have successfully mastered the program modules dealing with working through the skills of strategy implementation and change management.

The program is worked out and launched to develop the successors of B pool – On the Way Toward Improvement – Kemeldik Zholynda. The program is based on the strategic goals of the Company, competence and value model, studying and working through the skills which will promote the leading middle managers to successfully implement the Company’s strategy.

The program includes the following basic directions:

• Leadership and Communication;
• Managing the Sustainability Culture;
• Managing the Safety Culture;
• Leadership in the Strategy; and
• Project Management.

The leadership programs are relevant for both the top management and the engineering and technical personnel of our Company and for the purposes of review of the basic challenges and trends of development of production relations, as well as development of the skills of production leadership and role model of a manager on-site. Ozenmunaigas JSC is implementing the program of the Comprehensive Training for the top and middle managers.

Ozenmunaigas JSC. This program started in Autumn 2022 from the 1st module titled “Production Relations School” and today, it is also a communication and discussion platform for the managers of SDEs and KMG in order to improve the corporate culture and communication. More than 400 employees of Ozenmunaigas JSC received training.

In 2022, in the context of the official instruction of the President of the Republic of Kazakhstan on the phased increased of the percentage of women to 30 %, SWF Samruk-Kazyna in cooperation with LEA Women’s Strength Alliance of Kazakhstan initiated the program in the governing bodies of the publicly owned companies in order to develop the management competencies of women of the portfolio companies – Gender Equality.

The purpose of the program is to train women in using the PC to increase the percentage of women in the boards of directors, supervisory boards and executive bodies of the portfolio companies of Samruk-Kazyna JSC in 2023 – not less than 20 %; 2030 – not less than 30 %.

6 women being the managers of KMG Group of Companies participate in this program. The program is intended to last during 2022–2023.

At the same time, for the purposes of development of the line managers of production companies and professional associations, the programs are conducted on communication development, time management, and financial literacy.

Much attention is given to building a communication and developing in-company culture in KMG Group of Companies, building a dialogue between management and personnel.

Thus, in order to build a constructive dialogue between the management and representatives of employees, the Chairman of the Management Board of KMG M.M. Mirzagaliyev and the managers of the Company met the management and leaders of trade unions of the subsidiaries – Ozenmunaigas JSC, Mangistaumunaigas JSC and Karazhanbasmunay JSC.

The meeting was attended by the managers of subsidiaries and representatives of the trade unions. The meetings were held in the form of a training session with the elements of team building and using the facilitation tools and team coaching.

KMG Group of Companies also focuses on working with students and young experts. Considering the trend in the development of the industry and the present-day technological requirements, the work is actively performed with the educational institutions within the regions where production facilities are present.

Thus, a dual training program is being implemented on an ongoing basis on the basis of the companies – Embamunaigas JSC, Pavlodar Petrochemical Plant LLP and Atyrau Refinery LLP, as well as in Karazhanbasmunay JSC in Aktau City. In 2022, 26 graduates of this program are employed at KMG production facilities.

At the same time, KMG Engineering LLP, which is engaged in scientific and research activities, is actively implementing the program for training young experts in narrow specialties to be further employed on its base, together with Atyrau University of Oil and Gas named after Safi Utebayev; under this program, 10 students of this university are currently studying and undergoing an in-depth training program, as well as practical training on the basis of KMG Engineering LLP.

In addition, in 2022, KMG and Mangistaumunaigas JSC implemented a unique project to train young experts from among the unemployed citizens of Mangystau Oblast on the basis of the State Engineering and Technology University named after Sh. Yessenov, due to the need to take measures to ensure the stability of social, labour and economic relations, as well as to achieve the strategic goals and objectives in the field of Sustainable Development, specifically to reduce the rate of unemployment in Mangystau Oblast.

In order to prepare unemployed citizens for further employment, the ‘Educational Intensive’ program was prepared on the basis of Mangistaumunaigas JSC, which helped them to acquire necessary knowledge and skills for further employment and adaptation at work. Following the program implementation, 223 citizens were employed by Mangistaumunaigas JSC and this was the first job for most of them.

In addition, KMG Group of Companies is working on an ongoing basis to communicate with the institutions of higher education and technical-and-professional education of Kazakhstan to organize and conduct practical training and pre-graduation practice for the students.

Starting from September 2022, for the purposes of development of the schoolchildren in Zhanaozen City, Zharkyn Bolashak Project has been implemented with the support of Samruk-Kazyna Trust Social Project Development Fund.

The goal of Zharkyn Bolashak Project is to enable talented children from Zhanaozen City to get the right to free quality education in the best colleges and schools in the country.

In the context of this project, in 2022, 227 children entered the educational institutions throughout Kazakhstan, including:

1. 50 children who have been selected to study in IQanat High School of Burabay on the basis of 10 classes for 2022–2023 academic year;
2. 149 schoolchildren who have entered 44 colleges in 11 cities of Kazakhstan specializing in professions not related to the oil and gas industry;
3. 12 schoolchildren who have entered the art colleges;
4. 6 schoolchildren who have entered the sports boarding schools; and
5. 10 schoolchildren who have been selected to RPMS in Almaty City.

In addition to access to free education in the best educational institutions of the country, schoolchildren received access to additional scholarships, coverage of expenses to travel to a place of study from their places of residence twice a year, coverage of costs for meal. The project participants are regularly consulted by professional educational psychologists and project coordinators who monitor the adaptation of schoolchildren in a new place and help them to cope with difficult life situations as and where required.