ORDER OF THE GOVERNMENT OF THE REPUBLIC OF KAZAKHSTAN

of November 3, 2011 No. 1289

About approval of Rules of access for oil suppliers to conversion of crude oil and (or) gas condensate

According to the subitem 11) of article 6 of the Law of the Republic of Kazakhstan of July 20, 2011 "About state regulation of production and turnover of separate types of oil products" the Government of the Republic of Kazakhstan DECIDES:

1. Approve the enclosed Rules of access for oil suppliers to conversion of crude oil and (or) gas condensate.

2. This resolution becomes effective after ten calendar days after the first official publication.

Approved by the order of the Government of the Republic of Kazakhstan of November 3, 2011 No. 1289

Rules of access for oil suppliers to conversion of crude oil and (or) gas condensate

1. General provisions

1. These rules of access for oil suppliers to conversion of crude oil and (or) gas condensate (further - Rules) are developed according to the Law of the Republic of Kazakhstan of July 20, 2011 "About state regulation of production and turnover of separate types of oil products" (further - the Law) and determine procedure for provision of access for oil suppliers to conversion of crude oil and (or) gas condensate.

2. In these rules the following concepts are applied:

1) the oil supplier - the physical person or legal entity delivering to producer of oil products the crude oil and (or) gas condensate which is independently extracted, received by the Republic of Kazakhstan as the taxes paid in natural form according to the tax legislation of the Republic of Kazakhstan, imported or acquired directly at the subsoil user on the conditions established by the Law.

2) producer of oil products - the physical person or legal entity which is performing production of oil products and having the passport of production;

3) producer of oil products of low power - the producer of oil products performing production of oil products on technology installations which design capacity provides amount of conversion of crude oil and (or) gas condensate less than eight hundred thousand tons per year.

Other concepts used in these rules are applied according to the Law and the Law of the Republic of Kazakhstan "About the competition".

3. Producers of oil products place on the Internet resources information on the list of services in conversion of crude oil and (or) gas condensate for oil suppliers, the prices, rates charges, the nomenclature of the made oil products.

2. Procedure for access for oil suppliers to conversion of crude oil and (or) gas condensate

4. For receipt of right of access to services of the producer of oil products the oil supplier directs to producer of oil products by mail the registered mail or purposely the statement to rendering services in conversion of crude oil and (or) gas condensate in writing (further - the statement). The documents confirming observance of the requirements specified in Item 12 of these rules are enclosed to the application.

5. The producer of oil products in case of receipt of the statement registers it in the magazine of registration of statements which shall be numbered, strung together and under seal producer of oil products. In the magazine of registration of statements date and time of receipt of statements, and also its registration number are fixed.

6. At the request of the oil supplier the producer of oil products puts down on the copy of the application the corresponding stamp with indication of registration number, date and time of receipt of the statement.

7. The refusal in registration of statements is not allowed.

8. In case of refusal the oil supplier from services of the producer of oil products in conversion of crude oil and (or) gas condensate, the producer of oil products provides the corresponding services to the oil supplier following on priority whose statement is registered in the magazine of registration.

9. In case of submission of the statement by the oil supplier the producer of oil products informs him on the rendered services in conversion of crude oil and (or) gas condensate, on their cost, on the nomenclature of the made oil products, on receipt of right of access to services in conversion of crude oil and (or) gas condensate, on restrictions of production capacity of the producer of oil products on conversion of crude oil and (or) gas condensate.

10. In case of consideration of the application the producer of oil products considers the delivery schedule of crude oil and (or) gas condensate approved by authorized body in the field of production of oil products. With free capacity at producer of oil products of service in conversion of crude oil and (or) gas condensate it are provided to the oil supplier according to the priority specified in the magazine of registration of statements.

11. The statement of the oil supplier on receipt of services in conversion of crude oil and (or) gas condensate is accepted by producer of oil products on equal terms, irrespective of the declared amount.

12. The producer of oil products, except for producers of oil products of low power, provides equal access to the oil supplier to conversion of crude oil and (or) gas condensate, including on condition of observance of the following requirements:

1) availability at the oil supplier of the document confirming origin of the acquired (accepted) crude oil and (or) gas condensate;

2) availability at the oil supplier of the document confirming quality of the delivered crude oil and (or) gas condensate;

3) availability of the signed contract of delivery of oil products with the wholesale supplier and (or) the retail implementor of oil products providing supply of the made oil products to the territory of areas, cities of republican value and the capital according to the delivery plan of oil products, except for the oil supplier enabling retail sale of the oil products received as a result of conversion through the gas stations or reservoirs belonging to it on the property right or other legal causes.

13. The statement of the oil supplier on receipt of services in conversion of crude oil and (or) gas condensate is considered by producer of oil products within five working days from the moment of registration of a statement in the magazine of registration of statements. The producer of oil products informs him on results of consideration of the application of the oil supplier in writing.

14. In case of receipt of crude oil and (or) gas condensate for conversion the producer of oil products has the right to perform inspection in independent accredited laboratory, and in case of discrepancy of qualitative indexes to earlier declared, to refuse conversion of crude oil and (or) gas condensate.

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