Tashkent, Uzbekistan, Apr.15
By Demir Azizov- Trend:
Uzbekneftegaz national holding company of Uzbekistan and Russia's Gazprom JSC continue the talks on the terms of development of the Jel gas and condensate field, a source in Uzbekistan's government circles told Trend.
During the talks, the sides should agree on the terms of the agreement based on which the field will be developed, according to the source.
It was earlier reported that a protocol was signed in November 2014, according to which Uzbekneftegaz and Gazprom were supposed to sign a production sharing agreement before March 1, 2015 on the development of Jel gas and condensate field in Uzbekistan.
The mentioned protocol was signed after the meeting of Uzbek-Russian intergovernmental commission on economic cooperation held in Tashkent.
Jel gas and condensate field was discovered by Gazprom around five years ago during the exploration work in Ustyurt, not far from the Shakhpakhty block.
Shakhpakhty block is developed by Gazprom and is connected to the main gas pipelines, which makes the development of the Jel field cost-effective.
Gazprom carried out the supplementary exploration of the Jel field in 2012 and determined the existence of 14 productive horizons. The field's reserve has been proven by the State Commission on Reserves under the Government of Uzbekistan and its volume is not disclosed.
The field's gas reserve can near 10 billion cubic meters, according to the preliminary estimates.
Gazprom started the production of natural gas at Shakhpakhty field in (Ustyurt) with design capacity of 500 million cubic meters in accordance with PSA terms in August 2004. The total volume of the cumulative gas production at Shakhpakhty field exceeds 2.2 billion cubic meters for the present.
Russian Gazprom announced the completion of geological exploration work in the Ustyurt region in February 2012 and expressed intention to expand the resource base of its projects in Uzbekistan. The total cost of the project was $400 million.
Edited by SI