Oil production, construction of schools and active development of tourism — what projects implemented in Mangystau region

Located to the east of the Caspian Sea on the Mangyshlak plateau, the Mangystau region is a strategically important region for the country in industrial terms. 25% of the republic's oil is produced here. In addition, in the Mangystau region there is the “sea gate” of Kazakhstan — the city of Aktau. Read the review by Primeminister.kz about the development of the Mangystau region since the beginning of this year.

Since the beginning of this year, the region has achieved positive dynamics in all major macro indicators. This is the manufacturing industry (104.6%), and investments (106.4%), agriculture (103%), construction (121.1%), housing commissioning (100.3%), trade (104.9% ) and transport links (108.2%). Taking into account the reduction in oil production under the OPEC+ agreement, the volume of industrial production in the mining industry decreased by 5.9% compared to last year.

Given the difficult conditions in which small and medium-sized businesses had to work during the coronavirus pandemic, the regional authorities, within the framework of the state program for support and development of entrepreneurship within the Business Roadmap-2025, supported 1,361 projects totaling 27.0 billion tenge. Thanks to this measure, 231 new jobs were created, 1,299 jobs were saved.

Also this year in 2021 as part of the state program for the development of productive employment and mass entrepreneurship for 2019-2021. Enbek Program issued 28 microcredits in the amount of 294.3 million tenge and created 41 jobs.

Since the beginning of the launch of the regional program "Nur Capital" (since November 2018), 152 projects worth 3.1 billion tenge have been implemented and 1,152 new jobs have been created.

In general, funds in the amount of 6,805.8 million tenge were allocated for the implementation of the state program for support and development of business "Business Roadmap-2025" for 2021, of which:

- on the instrument for subsidizing the interest rate of loans — 5,118.9 million tenge;

- for the instrument of partial guaranteeing of loans — 1,651.9 million tenge.

At the moment, 1,031 projects have been approved for the amount of 15 405.3 million tenge, including:

- for subsidies — 491 projects for a total amount of 11,125.5 million tenge;

- under the guarantee — 540 projects for a total amount of 4,279.8 million tenge.

At the same time, within the framework of the mechanism for subsidizing priority areas (Economy of simple things) in the period between 2019-2021. state support was received by 38 projects in the amount of 15,156.9 million tenge with the creation of 642 new jobs and with the preservation of 2,609 jobs.

Within the framework of the mechanism, 2.2 billion tenge was allocated in 2021, including for subsidies — 1.8 billion tenge, for guaranteeing — 382 million tenge.

Implementation of 30 projects is planned for the current year. To date, 2 projects have received support for the amount of 196.5 million tenge. This direction is taken under control, monthly meetings are held with directors of second-tier banks and deputy akims of cities and districts.

In the cities of Aktau and Zhanaozen, within the framework of the microcrediting program, funds in the amount of 700.0 million tenge were allocated from the republican budget. As of July 1, 2021, 32 microcredits were issued from the allocated funds in the amount of 351 million tenge. The disbursement of the disbursed funds is planned by September 2021.

The number of active subjects in the field of small and medium-sized businesses amounted to 53.2 thousand units, or 100.3% to the corresponding period of 2020. In the region, the monitoring of the main indicators of the development of small and medium-sized businesses is carried out on an ongoing basis:

the number of operating small and medium-sized businesses amounted to 53,199, which is 0.3% more than in the same period last year;

the number of people employed in small and medium-sized businesses amounted to 121,092 people;

the volume of products manufactured by small and medium-sized businesses amounted to 1.4 trillion tenge, which is 7.1% more than in the same period last year.

With regard to the development of the industrial sector, in the structure of the manufacturing industry at the end of 2020, there are the following sub-sectors:

- mechanical engineering (23.8%);

- production of finished metal products (17.7%);

- production of refined products (16.4%);

- chemical industry (14.6%);

- production of other non-metallic mineral products (13.4%).

The smallest shares are:

- food production (4.5%),

- production of rubber and plastic products (4.3%),

- metallurgy (2.3%),

- light industry (1.6%),

- pharmaceuticals (0.1%).

The largest share of the manufacturing industry in the context of the region falls on the city of Aktau (54.8%). Large and medium-sized enterprises of the manufacturing industry of the region are concentrated here (Tupkaragan district - 16.5%, Mangystau district - 10%, Zhanaozen city - 8.6%, Munaylinsky district - 6.8%, Karakiya district - 3.0%, Beineu district - 0.3%).

In January-June 2021, according to the Department of the Bureau of National Statistics of the Mangystau region, industrial enterprises of the region produced products with current prices for 1,320.4 billion tenge. The index of the physical volume of industrial production for the corresponding period of 2020 amounted to 94.1%.

For 6 months of this year the volume of production in the development of the manufacturing industry increased by 4.6% and amounted to 84.5 billion tenge.

Taking into account the reduction in oil production under the OPEC+ agreement, the volume of industrial production in the mining industry decreased by 5.9% compared to last year. According to expectations, this year the volume of oil production in the region will amount to 16.8 million tons, which is 0.4% more than last year (IFO 100.4%).

At the end of the first half of 2021, investments in fixed assets amounted to 256.3 billion tenge, which is 6.4% more than in the same period last year. The index of the physical volume of investments to the corresponding period of the last year amounted to 106.4%.

Priority areas for development of the region

In 2020-2025 within the framework of the Business Support Map of the Mangystau region, it is planned to implement 24 projects for a total amount of 459 billion tenge with the creation of more than 2,100 jobs. In 2020, within the framework of the Entrepreneurship Support Card, 9 projects were put into operation for a total of 29.8 billion tenge with the creation of 241 jobs.

For reference:

1. Seabed water treatment and pumping system, "Total" company (8.6 billion tenge, 4 jobs, industry — oil industry). Commissioned on June 1, 2020.

2. Electricity production for LLP KazGPZ in Zhanaozen, LLP Oralmunayprom (5.4 billion tenge, 50 jobs, industry — energy, manufactured products — electricity). Commissioned on Dec. 1, 2020.

3. Construction and operation of a mini-plant for the processing of raw sugar and the production of granulated sugar and navat on its basis, Orda Production Company LLP (278 million tenge, 35 jobs, industry — food industry, manufactured products — sugar, navat). Commissioned on Dec. 1, 2020.

4. Construction of a wind farm in the Karakiyan district of the Zhetybay wind farm, WES Service LLP. Power 10 MW / h (1.9 billion tenge, 20 jobs, industry — energy, manufactured products — electricity). Commissioned on Dec. 9, 2020.

5. Construction of a wind farm in the Karakiya region, Wind farm Zhetybay, LLP Wind farm Zhangiz. Power 5 MW / h (975 million tenge, 10 jobs, industry — energy, manufactured products — electricity). Commissioned on Dec. 9, 2020.

6. Construction of a workshop for the production, maintenance and repair of oilfield and drilling equipment, OSS Kazakhstan LLP (1.1 billion tenge, 50 jobs, industry — mechanical engineering, manufactured products — drilling equipment). Commissioned on Dec. 15, 2020.

7. Construction of a petrochemical complex, LLP Onis Petroleum (7.5 billion tenge, 40 jobs, industry — petrochemistry, manufactured products — motor oils, chemical products). The commissioning period is 2 half of 2021.

8. Modernization of the processing of hydrocarbon raw materials (stage 2), LLP Mangystau OiL Refining, industrial zone of Aktau (2 billion tenge, 50 jobs, industry — petrochemistry, manufactured products — fuel oil, gasoline, heating oil, diesel fuel ). It was put into operation on Dec. 31, 2020 in a technical form.

9. Implementation and maintenance of video surveillance systems, Safe Yard, in Aktau, LLP Dynamics Business Technologies (1.9 billion tenge, 7 jobs). Commissioned on Dec. 31, 2020.

In 2021, it is planned to commission 9 projects for a total amount of 210.3 billion tenge with the creation of more than 700 new jobs. To date, 1 of them has already been implemented.

For reference:

1. Construction of an oil pipeline for the transportation of commercial oil from the Karazhanbas Severny field, Phystech II JSC (cost 3.0 billion tenge, 18 new jobs). Commissioned on July 7, 2021.

Other projects are being implemented according to the schedules:

2. Construction of a poultry farm in the Tupkaragan region, Aktau-Agro LLP (cost 5.0 billion tenge, 91 new jobs). The commissioning date is July 2021.

3. Construction of a feed mill in Munaily district, Zhamalbek LLP (cost 2.0 billion tenge, 20 new jobs). The commissioning period is 2 half of 2021.

4. II stage of construction of a multifunctional hotel and tourist complex located in the Warm Beach area in Aktau. Golf hotel with villas LLP TETHYS AKTAU I (cost 89.9 billion tenge, 216 new jobs). The commissioning period is the second half of 2021.

5. II stage of construction of a multifunctional hotel and tourist complex located in the Warm Beach area in Aktau. Themed amusement park TETHYS AKTAU II LLP (cost 47.7 billion tenge, 256 new jobs). The commissioning period is 2 half of 2021.

6. II stage of construction of a multifunctional hotel and tourist complex located in the Warm Beach area in Aktau. Shopping malls TownCenter, LLP TETHYS AKTAU III (cost 34.9 billion tenge, 44 new jobs). The commissioning period is 2 half of 2021.

7. Construction of a plant for the production of polymer packaging, Dostyk Polymer Plus LLP (project cost 368.4 million tenge, 32 new jobs, industry — chemical industry, manufactured products — containers). The commissioning period is the 4th quarter of 2021.

8. Modernization of the plant for the production of mineral fertilizers with an increase in the design capacity for the production of finished products (stage 3), JSC KazAzot (cost 6.0 billion tenge). The commissioning period is the 4th quarter of 2021.

9. Construction of a desalination plant of produced water 17,000 cubic meters per day, LLP JV CITIC-Water Ecology Aktau, PRC investor CITIC Envirotech Ltd. (cost 21.4 billion tenge, 40 jobs). The commissioning period is the 4th quarter of 2021.

In the period from 2022-2025. it is planned to implement 6 projects for a total amount of 218.9 billion tenge with the creation of more than 1,000 jobs.

in 2022:

Modernization of the hydrocarbon processing complex (stage 3), Mangystau OiL Refining LLP (cost 10.6 billion tenge, 50 jobs).

2. Construction of an ethno-aul in the Karakiyansky district of TETHYS AKTAU IV LLP (cost 39.8 billion tenge, 132 jobs) The commissioning period is 1 half year.

in 2023:

2. Construction of a plant for the production of cables and transformers, LLP Aktau-EnergoMash, investor Azerbaijan LLC ATEF-Group of Companies (cost 9.1 billion tenge, 150 jobs). The commissioning period is 2 half of 2021.

3. Mining of cathode copper at the Zhezdibassay deposit, Tekhnogran Aktobe LLP (project cost 5.4 billion tenge, 150 jobs).

in 2024:

4. Development of fisheries, IE Bulekbaev (cost 65.8 million tenge, with the creation of 9 new jobs).

in 2025:

5. Construction of the multifunctional sea terminal Sarzha, LLP SEMURG INVEST (project cost 154.0 billion tenge, 600 jobs).

For 6 months of this year the volume of attracted investments amounted to 256.3 billion tenge. This year, it is planned to employ 2,600 people through the implementation of 12 investment projects worth about 270 billion tenge.

In general, this year in the Mangystau region it is planned to develop the region in 4 main directions.

First. Improving the quality of life of the population.

Second. Increasing the availability of finance for small and medium-sized businesses.

Third. Development of the agro-industrial complex.

Fourth. Business development.

12 billion tenge was allocated for the implementation of these measures in the Mangystau region. Of these, 5 billion tenge — at the expense of the republican budget, 7 billion tenge — at the expense of government securities.

5.8 billion tenge was allocated for the implementation of infrastructure projects in the first direction. This is the construction of secondary schools, an extension to the school, as well as the construction of a water supply system:

- construction of a general education school for 600 children in the residential area Zhanakonys, rural district Baskudyk Munayly district;

- construction of a comprehensive school for 300 students in the residential area Shygys-1, Aktau;

- construction of a general education school for 1,200 pupils in the plot number 25, 31A micro district, Aktau;

- construction of an extension to the secondary school number 29 in the microdistrict. 32A, Aktau;

- construction of a water supply system in the Warm Beach area in Aktau.

In total, 590 jobs will be created within the framework of these projects, incl. 190 jobs during the implementation of projects and 400 jobs after the commissioning of facilities.

As part of the second direction, 1 billion tenge is planned for the provision of 238 microcredits on preferential terms at 6%. 472 jobs will be created by recipients of microcredits. Lending is carried out through Agrarian Credit Corporation JSC.

Within the framework of the third direction, it is planned to implement projects of the agro-industrial complex. For this purpose, 4.5 billion tenge was allocated. Within the allocated funds, it is planned to finance 10 investment projects. It is planned to create 418 jobs.

Within the framework of the fourth direction, business entities are provided loans and loans on favorable terms. Investments in authorized capital and non-financial support are also offered. 754 million tenge is provided for this direction.

The volume of construction work in the region amounted to 87 billion tenge, or 121.1% against the corresponding period of 2020. Commissioned 632.4 thousand square meters of housing (growth rate 100.3%).

In addition, the region is actively implementing road projects under the Nurly Zhol program. So this year, 17 projects are being implemented in the region to repair roads of regional and district significance, covering a total of 245 km. At the moment, a major overhaul of the Kuryk-Zhetybai highway is underway. A total of 69 kilometers of roads will be reconstructed.

The unemployment rate for January-March 2021 was 4.9%. The average monthly wage per employee for January-March 2021 was 344,329 tenge, which is 6.4% more than the corresponding period of 2019.

Mangystau region — a tourist attraction center

Tourism development is one of the priority spheres of the economy not only in the region, but also in the country as a whole. Within the framework of the state program for the development of the tourism industry, the Mangystau region was included in the TOP-10 promising tourist zones of the republic.

One of the directions of tourism in the region is the development of a seaside resort, beach tourism in areas from the city of Aktau to the port of Kuryk, located on the coast of the Caspian Sea.

On the instructions of Elbasy Nursultan Nazarbayev in August 2018, "Aktau should become a modern sea resort", with the support of the Government of the Republic of Kazakhstan, the 1st stage of work on the development of the engineering infrastructure of the "Warm Beach" area of ​​the city of Aktau was completed. Thanks to this, in July 2020, the 1st stage of the Rixos Water World Aktau hotel complex was launched (in 2020, the hotel was visited by more than 78,000 people), attracted 68 billion tenge of investments and employed more than 600 people, of which more than 90% are the local population.

According to official statistics, 91 placements were registered in 2020. The tourism sector attracted 71.8 billion tenge of investments. Accommodation services were provided for 4.3 billion tenge. A total of 160 thousand people visited the region for tourism purposes.

The opening of the Rixos Water World Aktau hotel has improved the international image of the Mangystau region. Thanks to such large modern projects, the region is known abroad. It also gives a new impetus for increasing the pace of promoting domestic tourism, providing tremendous opportunities for the development of other related sectors of the economy, the development of small and medium-sized businesses, service and transport services, agriculture, etc.

The work on implementation of the second stage of engineering infrastructure on water, electricity, gas supply and road construction is continuing. Currently, the second stage of development of a promising resort area has been launched. For more than 180 billion tenge, large projects are being implemented by the private company Tethys International HUB LTD (theme park, golf club, shopping malls, hotels), BI Group holding (a complex of villas and apartments) and Bazis-A corporation (resort and hotel complex Aqualina Resort).

In July of this year, one of the projects launched in the Warm Beach area is the Tethys Aktau II LLP theme park. The theme park, located on 12.8 hectares, consists of the following facilities: a social services center, slides and attractions (Snorri, Power splash, Interactive boat ride, etc.), a carousel, a Ferris wheel, places for day and night activities, entertainment area for adults, entertainment area for children, performance areas, food courts, cafes / restaurants, swimming pools, parking. The amount of investment in the project is 42.6 billion tenge.

At the same time, by the end of the year, the following will be launched:

- a golf club, villas, a Fairmont hotel, a multifunctional hotel and tourist complex with 300 rooms (Tethys Aktau I LLP);

- shopping arcade Town Center (LLP Tethys Aktau III);

- a complex of villas and apartments (LLP Dream Village);

- hotel and residential complex AQUALINA RESORT (LLP Caspian Plaza).

For the first 5 months of 2021, the volume of services provided by the placements is estimated at 1 billion tenge. A total of 91 accommodation facilities are registered in the region. The number of tourists visiting the region in this period of time was 52,383 people.

The beach season on the Caspian Sea lasts from May to September. Due to the active development of tourism, Mangystau is rightfully the center of the country's beach tourism. This is facilitated by the functioning of 10 recreation centers (Tree of life, Stigl, Sunset, Silver Sands, Saya, Komarovo, etc.) on the coast of the Caspian Sea. It offers comfortable two- and three-room houses, cottages with sea views, sports grounds, water parks and other amenities.

Today, due to favorable climatic conditions and great demand among residents not only of the region, but also of guests, accommodation facilities (hotels, recreation centers and others), in compliance with all sanitary and epidemiological requirements, operate in a regular mode, ensuring the availability and quality of the provided services.

In addition to the projects of the resort area, operating bases, there are other tourist facilities aimed at the development of ecological, sacred tourism, where you can see beautiful natural attractions. Mangystau is a region with a unique potential for tourism development with a large number of sacred sites, natural masterpieces, unique way of life and age-old traditions. In order to further intensify and popularize the development of tourism, tourist destinations have been identified, designed to show all the splendor of the natural beauty of the region.

The first direction is the Karakiyan region, the Bozzhyra gorge (the distance from Aktau to Bozzhir is 300 km). On the way to the gorge, you can visit the Karakiya depression, the city of Zhanaozen, the Tuyesu sands;

The second direction is the Tupkaragan region, the Sartas route (from Aktau to the Sartas area, the distance is 135 km). The route includes a visit to Cape Zhygylnan, Fort Shevchenko, Kapamsay canyon, underground mosques Sultan-epe, Shakpak-ata.

The third direction — Mangystau district, ethno-village Kogez (the distance between Aktau and is 170 km). The route includes a visit to the ethnoaul Kogez, globular nodules of the Torysh tract, Sherkala mountains, the Airakty outlier mountains, the Kyzylkala settlement, Akmysh tract, etc.).

At this time, the first direction is actively developing, involving a visit to the Bozzhyra gorge. Bozzhyra is located at the bottom of the rocks. This route is the most popular and requested among tourists. For many years this direction was used only for expeditionary purposes.

The implementation of projects in the field of tourism will attract additional investments to the region, an influx of new tourists, provide the creation of new jobs, and contribute to the development of related sectors of the economy, which ultimately will give a positive impetus to the socio-economic development of the region.

No emergency schools in Mangystau region

147.2 billion tenge was allocated to the development of the social sphere in the region, including 115.3 billion tenge for education, and 6.8 billion tenge for healthcare.

There are 323 preschool organizations in the region, which cover 38.8 thousand children. In 2020, 10 private kindergartens for 865 places were opened (Aktau city — 8 preschool educational institutions for 715 places, Munailinsky district — 2 preschool institutions for 150 places).

There are no emergency schools in the region. The share of preschool education for children from 1 to 6 years old is 66%. Currently, the network of kindergartens is growing thanks to the development of the private sector. In the period from 2021 to 2025, it is planned to open 102 private kindergartens. This year, 19 private kindergartens for 1,490 places are to open. To date, 13 kindergartens for 800 children have already been commissioned. The remaining 6 will be open until the end of the year.

All educational institutions of the region are provided with video surveillance systems. Last year, 125.6 million tenge was allocated from the local budget. Video surveillance systems in 94 schools have been brought in line with current regulations. Panic buttons have been installed in 45 schools. 51 kindergartens, 43 schools and 9 colleges have specialized security, security personnel work in 98 schools.

To resolve the issue of three-shift education, it is planned to complete the construction of 3 schools and three annexes to schools this year. After the commissioning of a school for 1200 places in the 34th microdistrict of Aktau and a school for 300 places in the microdistrict "Shygys-1" the issue of three-shift in schools # 28 and # 29 will be resolved.

There is currently a deficit of 12,451 seats. In 15 schools, 3,826 primary school students are enrolled in the third shift.

During the implementation of the Roadmap until 2025, 28 objects will be commissioned.

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