Investment opportunities / By Industry

Oil and Gas sector      

Industry development status.

Over the years of independence  Uzbekistan  performed great deal of work to rehabilitate existing facilities, buid new plants, booster compressor stations, gas underground storages. Currently,  NHC operates two oil refineries - Ferghana and Bukhara oil refineries of f 11.2 million tons of total output capacity a year, the Mubarek gas processing plant of 30.0 billion m3 of natural gas annual processing capacity r, Shurtan gas processing plant of 20.0 billion m3 of gas annual processing capacity and Shurtan gas chemical complex of with a clearance capacity of 3.9 billion m3 of annual gas cleaning capacity and  of 125,000 tons of annual polyethylene .

Nowadays more over 20 joint ventures are operating within "Uzbekneftegaz". exploration is underway where leading companies such as "Gazprom" and "Lukoil" (Russia), CNPC International (China), Petronas Carigali (Malaysia), Korea National Oil Corporation, Korea Gas Corporation and Daewoo International (South Korea) are involved. As for newly-established joint ventures, they include PetroVietnam (Vietnam) and Sasol (South Africa). Asia Trans Gas, Uz-Kor Gas Chemical, Uzbekistan GTL, UzPrista, Uz Dresser-Rand etc

A few Production Sharing Agreements are implemented with Gazprom and Lukoil companies, as well as with the International Consortium of investors.

The industry develops in accordance with the Decree of the President of the Republic of Uzbekistan "On the priorities of industrial development of Uzbekistan in 2011-2015 years", according to which NHC "Uzbekneftegaz" will implement 37 investment projects of total value of 19.3 billion U.S. dollars and 23 projects worthy about 7.1 billion U.S. dollars are on development stage.

Target parameters for further industry development.

Currently, "Uzbekneftegaz" together with foreign partners prepares a number of important investment projects, whose realization will have a significant impact on the fuel market pattern, both nationally and in the region. For instance:

-  project on construction of Ustyurt Gas chemical complex for Surgil deposit. The main foreign partner is a Consortium comprising KOGAS, Honam Petrochemical Corp. and STX Energy South Korean companies. The project is implemented through international project financing and currently identification of the contractors to construct a process section is being carried out. Design capacity - 4.5 billion cubic meters of gas, as much as 400 thousand tons of polyethylene and nearly 100 thousand tons of polypropylene per year. The process Licensors is KBR, Ortloff and UOP  (USA);

- project on construction of a plant to produce synthetic liquid fuels near Shurtan Gas Chemical Complex in Kashkadarya region. The main international partners are Petronas Carigali and Sasol companies. GTL production process based the SASOLs own process, will allow fto  annually process approximately 3.5 billion cubic meters of purified methane of the Shurtan Gas Chemical Complex and produce t 1.7 million tonnes of highly liquid products (diesel fuel, jet fuel, naphtha, liquefied petroleum gas ).

Today only five similar commercial projects are realized in the world. Uzbek project  will be another one.

The advantages of the industry.

the necessary legal framework contributing to  creation of  enabling environment for business and providing foreign investors with a broad package of benefits and privileges;

- political and macroeconomic stability in the country, that guaranties   a guarantor  for the  investments security;

- rich deposits of hydrocarbons, which in turn helps to keep the relatively low prices for vital raw materials;

- well-developed industrial infrastructure for all types of oil and gas operations, including exploration, production, refining and transportation of raw materials, equipment production and  construction;

-  highly skilled professionals and educational institutions;

- convenient geographical location of Uzbekistan.

MFERITMEDEF InternationalInternational Business CenterGov.uzPress ServiceOliy MajlisUzASARIO