We bring to your notice analysis of drilling services procurement market from July 2018 to June 2019.

From the analysis of procurement in Kazakhstan, according to data on the web-site for this period, the providers and consumers of the drilling services submitted applications for a total amount of 5.23 billion tenge (hereinafter the amount excluding VAT). The analysis was carried out on to two main types of drilling, i.e. RC and core drilling.

In the total range of requested GWS (goods, works and services) in the second half of 2018 and the first half of 2019, a larger amount of funds was allocated for core drilling services in the volume of 3.78 billion tenge, while RC-drilling accounted for 1.45 billion tenge.

Moreoveron RC technology,  for the indicated period, according to the tender documentation for the indicated period, service providers should have drilled 226,918 linear meters of wells, and according to the core drilling technology –116,245 linear meters.

It should be noted that the analysis takes into account only official tenders placed on the web-site We do not consider unofficial procurements.


The maximum volume of works on core drilling services of 43,450 linear meters is indicated on a RG Gold company tender at the amount of 1,083,165,050 tenge (2019.OK-252089) and the price declared by the customer of 24,929 tenge per linear meter (hereinafter, the procurement code in the NADLoc agency register). The minimum volume was indicated by the tender of Atygay Gold Mining LLP, for 500 running meters with the stated price of 14,700 tenge per meter and tender amount of 7,350,000 tenge for core exploration drilling services on the area of the Bersuatskoe deposit located in Zhetikara District of Kostanay Region (2018.OK-237914).

The maximum volume of works on RC-drilling services was indicated by tender of Altyntau Kokshetau JSC in the amount of 555 553 449.63 tenge with a proposed value of 8 181 tenge per linear meter (2019.OK-247747). The minimum volume of RC-drilling services was offered by Tin One Mining JSC and amounted to 1,000 linear meters with a price of 9,350 tenge per meter for a total amount of 9,350,000 tenge (2019.OK-250807).

The average cost of proposals for RC drilling services for the period under review amounted to 8 765.5 tenge per linear meter; the cost of core drilling services varies depending on the diameter of drilling (BQ, HQ, NQ and PQ). The average level of the winning price for drilling with NQ diameter was 35 179 tenge, while the average level of the winning price for HQ was 26 051 tenge per linear meter. Prices are indicated net of VAT.

According to the tender register, the top five customers in the second half of 2018 and the first half of 2019 included Kazzinc LLP, RG Gold, KAZAKHALTYN Mining-Metallurgical Concern JSC, Altyntau Kokshetau JSC and Bakyrchik Mining Venture.

From the data provided in the article, we can draw a conclusion that the cost of core drilling services increases, even taking into account inflation from 2016 to 2019, with the continuing trend of demand for services of this type of work. At the same time, in case of lower cost of services, the volume of work by the method of RC-drilling is one third higher than the volume of core drilling services performed during the same period of time.

We would like to remind that the price parameters presented by us should be considered relative, with regard to the technical specifications of drilling services (drilling depths and subtypes of work).