Baku, Azerbaijan, April 19
By Fikret Dolukhanov – Trend:
Russian Lukoil will refinance a portion of the costs incurred in the construction of the Kandym Gas Processing plant in Uzbekistan using a loan, the press service of the company reported on April 19.
According to the information, a $660-million loan with 10-year maturity period was issued by European ING Bank, UniCredit Bank and Deutsche Bank banking groups. Insurance coverage was provided by the Korea Trade Insurance Corporation (K-Sure). LUKOIL Overseas Uzbekistan Ltd. acted as a borrower.
“The signed agreement shows a new level of financial cooperation between the Uzbekistan, the Republic of Korea and the Lukoil Group and confirms the high attractiveness of investment projects in the region,” the company stated.
Construction of the Kandym Gas Processing complex was carried out within the framework of the Production Sharing Agreement (PSA) signed with the government of Uzbekistan for a 35-year period until 2039. In 2015, the document was prolonged for another seven years - until 2046.
The total investment by Lukoil in all its projects in Uzbekistan has already exceeded $7 billion. During 15 years of work in the country, the company took part in some of the largest projects, such as development of Khauzak, Shady, South-West Gissar and Kandym fields.
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