Baku, Azerbaijan, Oct. 22
Trend:
Gas Project Development Central Asia AG (GPD) and Uzbekistan's oil and gas company Uzbekneftegaz signed an addendum to the production sharing agreement on the 'Independence of Uzbekistan' investment block in the Surkhandarya region, Uzbek media reported.
GPD is a joint venture of Centrex Europe Energy & Gas AG and Gazprom Germania GmbH, Berlin (Germany).
The document was signed during the state visit of Russian President Vladimir Putin to Uzbekistan.
According to the agreement, the SURKHAN INVESTMENTS LIMITED enterprise will be created to attract project financing. The agreement approves commercial terms of the project, including the proportion of production sharing between the state and the investor.
The development of the field, which is one of the largest in Uzbekistan, is stipulated by the production sharing agreement on the 'Independence of Uzbekistan' investment block, signed during the state visit of President of Uzbekistan Shavkat Mirziyoyev to Russia in April last year.
The agreement provides for drilling of wells, development of the '25 Years of Independence' field, exploration in the investment block, construction of a gas processing plant and a gas-chemical complex for polymer production. The planned investment at the first stage of the project will exceed $2 billion.
The project implementation is provided in two stages. At the first stage (2018-2022) it is planned to drill wells, develop the M25 field, conduct geological exploration in the investment block, build infrastructure and a gas processing plant.
The second stage (2023-2025) will involve construction of a gas-chemical complex for polymer production with the deep processing of marketable gas.