Remuneration Report

Remuneration of the Board of Directors

The Resolution of JSC Samruk-Kazyna’s Management Board dated 26 September 2016 approved the Guidelines on Forming Boards of Directors at Companies of JSC Samruk-Kazyna, which provide, inter alia, for a procedure for remuneration payable to members of such Boards of Directors. Remuneration reflects the duties of the respective member of the Board of Directors, the scale of the company’s operations and its long-term goals and objectives. Remuneration is also paid to independent directors. The level of remuneration payable to representatives of JSC Samruk-Kazyna on such boards is determined by a resolution of JSC Samruk-Kazyna’s Management Board.

Total remuneration paid to members of the Board of Directors in 2019–2021
Indicator 2019 2020 2021
Total remuneration paid to members of the Board of Directors in USD 1,418,097 819,020 381,944
Total remuneration paid to members of the Board of Directors in KZT 18,559,956 15,799,427 18,200,000

Remuneration of the Management Board

KMG’s Board of Directors determines the remuneration policy and the procedure for assessing performance of members of KMG’s Management Board in line with the Corporate HR Management Standard of JSC Samruk-Kazyna Group, approved by the Resolution of the JSC Samruk-Kazyna’s Management Board dated 14 December 2017.

Remuneration paid to members of the Management Board for the reporting period (year) is performance-related to encourage them towards the strategic and priority goals outlined in measurable, interrelated, consistent, and balanced motivational KPI scorecards.

A motivational KPI scorecard outlines corporate and functional KPIs.

The Nomination and Remuneration Committee of the Board of Directors pre-reviews matters related to building an effective and transparent remuneration framework.

The total remuneration paid to members of KMG’s Management Board for 2021 amounted to KZT 227,908,251.96, including all salaries and financial benefits (plus taxes and pension contributions) paid by KMG to members of the Management Board for serving on the Board in 2021, under the Remuneration Rules for Members of the Management Board (executives) and Remuneration Rules for the Employees of Internal Audit, Corporate Secretary, Compliance and Ombudsman of JSC NC KazMunayGas, approved by the Resolution of KMG’s Board of Directors dated 10 September 2020.