Uzbekistan to build US$4bn site

Uzbekistan to build US$4bn site

Published: September 30, 2011

Joint venture with Korean companies to construct petrochemical plant.

Uzbekneftegaz, Uzbekistain’s state oil and gas company, and a consortium of South Korean companies is to build an upstream gas and petrochemicals plant in Uzbekistan after they raised US$4bn.

Surgil, a joint venture between Uzbekneftegaz and Korean companies Kogas, Honam and STX Energy, intends to develop the site in the northwest of the country to hold 133 wells by 2025.

The funding was provided by the Export-Import Bank of Korea, Asian Development Bank (ADB) and China Development Bank.

The project is expected to cost US$4.16bn and additional institutions have been invited to participate in the deal by ING, which is advising the joint venture.

The Surgil gas field is believed to hold 130bn cubic meters of natural gas and is anticipated to have a production life of some 40 years.