Uzbekneftegaz and Korean companies sign founding documents to establish JV
Uzbekistan, Tashkent, March 24 / Trend D. Azizov /
A subsidiary of Avtogaztaminot, Zavod Uzbekhimmash (included in the structure of the National Holding Company Uzbekneftegaz) and Korean Kogas, Kolon and NK signed the founding documents to establish the joint venture producing LPG equipment for vehicles using compressed gas, Uzbekneftegaz said.
The conditions were not disclosed.
The project worth $ 10 million is included in the Republican investment program for 2011. According to the program, the design production capacity must reach 120,000 units of LPG equipment a year.
The joint venture will be established in the Navoi free industrial zone.
Avtogaztaminot is engaged in supplying compressed natural gas for filling stations. Zavod Uzbekhimmash is the enterprise specializing in designing, manufacturing and servicing equipment for the petrochemical industry.
Uzbekistan has been implementing a program of transferring road transport in Uzbekistan for natural gas since 2007.
Uzbekneftegaz, the monopoly operator of oil and gas sector of Uzbekistan, was established in 1998. It includes six joint stock companies.
Uzbekistan ranks second on natural gas production among CIS countries. It is among the ten largest gas producing countries in the world.
According to the official statistics, natural gas production in Uzbekistan decreased by 2.1 percent - up to 60.112 billion cubic meters in 2010. Production of liquefied hydrocarbon gases decreased by 0.2 percent - up to 245.700 tons.