Malaysia’s Petronas to Develop Uzbek Oil, Gas Deposits

TASHKENT. July 15 (Interfax) – Malaysia’s Petroliam Nasional Bhd (Petronas) plans to participate in exploring and developing oil and gas deposits in Uzbekistan, a source in Uzbekistan’s national gas and oil holding Uzbekneftegaz told Interfax.

Petronas is expected to set up a joint venture with Uzbekneftegaz to develop oil and gas deposits in the basin of the Aral Sea in the Karakalpak Autonomous Republic. Petronas has been given technical information on licensing areas to study.

The terms for the joint venture are expected to be determined by the end of the year, the source said.

Uzbekistan is the third largest producer of natural gas in the CIS and is among the ten largest producers of gas in the world.

A total of 190 raw hydrocarbon deposits have been discovered. Of these, 47% are still under development, 35% are ready to go on stream and exploratory work is still being carried out at the rest.

Natural gas reserves have been explored at 136 deposits, 59 of which are being developed. A total of 49 gas deposits containing condensate are ready to go on stream commercially and be developed.

Uzbekneftegaz is the monopoly oil and gas producer in Uzbekistan. The company was set up in 1998 and unites four joint stock companies. Uzbekneftegaz oil and condensate production in 2004 fell 7.8% to 6.58 million tonnes, while natural gas production increased 4.1% to 59.864 bcm.