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Vietnam Petrovietnam and Uzbekneftegaz sign agreement on geological exploration in Ustyurt region

Oil&Gas Materials 8 February 2010 18:45 (UTC +04:00)

Uzbekistan, Tashkent, Feb. 8 / Trend D. Azizov /

This week, Vietnam Petrovietnam (PVEP), a subsidiary of the state corporation PetroVietnam, and National Holding Company (NHC) Uzbekneftegaz signed the agreement 'Basic principles of a joint study of Uzbek Ustyurt region', the Vietnamese company said.

The document envisages joint geological surveys in the Ustyurt region (north-west of Uzbekistan).

Under the agreement, the Vietnamese company will get Kosor investment unit with total area of 5.500 square kilometers to undertake exploration for five years.

PVEP invests about $30 million for this project in 2010-2014.

It was reported that in 2008 PetroVietnam and Uzbekneftegaz signed the agreement on cooperation in oil and gas sector, by determining three areas - exploration, research-level oil, gas potential of new territories, exchange of specialists.

At present, about 44 investment blocks were allotted to Uzbekistan for foreign investors to conduct geological exploration. Licenses were given on 21 blocks.

Currently, Russia's Gazprom and Lukoil, the Korean Daewoo and KOGAS, China's CNPC and Malaysia's Petronas conduct exploration in Ustyurt. Total amount of foreign companies' investments in exploration in this region is about $ 700 million.

According to Uzbekneftegaz, as of January 1, 2005, projected prospective hydrocarbon resources in Uzbekistan hit 5,903 trillion cubic meters of gas, oil - 817.7 million tons and 360 million tons of condensate.

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