Baku, Azerbaijan, April 25
By Fikret Dolukhanov – Trend:
Uzbekneftegaz and Gazprom have decided to prolong the Production Sharing Agreement (PSA) for the Shakhpakhty gas condensate field project in Uzbekistan, Deputy Chairman of the company's Management Board Vitaly Markelov said in an interview with Gazprom magazine.
“Validity of the PSA ends in 2019, and the parties came to a mutual decision that, in accordance with the terms of the PSA and the legislation of the Republic of Uzbekistan, its validity should be extended by five years, until 2024,” Markelov said.
He also added that the companies continue negotiations on the terms of the PSA on the Jel field development. The field was discovered in 2009 at the Shakhpakhty block. The reserves of the field are 6.4 billion cubic meters of gas and 76,000 tons of gas condensate.
In 2002, Gazprom and Uzbekneftegaz signed an agreement on strategic cooperation providing for Gazprom's participation in natural gas production projects in Uzbekistan on the PSA terms. Gazprom has been participating in the restoration of gas production at the Shakhpakhty field on the terms of the PSA since 2004.
In 2017, Gazprom and Uzbekneftegaz signed an agreement on joint exploration and organization of engineering and innovation works. In addition, Gazprom has concluded a five-year contract with Uzbekistan to purchase 4 billion cubic meters of gas per year, beginning in 2018.
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