State-owned Abu Dhabi National Oil Company (Adnoc) signed an agreement with an Uzbek company to provide strategic advice on upstream and downstream operations.
Adnoc will look to support Uzbekneftegaz’s "growth plans, as it seeks to maximise the value of the country’s oil and gas resources”, Adnoc executive director Omar Suwaina Alsuwaidi said in a statement.
Uzbekneftgaz is the former Soviet state’s oil and gas company and largely explores for hydrocarbon resources in the Aral Sea in joint ventures with Korean, Chinese and Russian firms. According to the World Energy Council, Uzbekistan has proven reserves of around 600 million barrels in place and around 1.1 trillion cubic metres of gas.
Presently, Uzbekneftgaz is executing schemes such as a gas to liquefaction plant (GTL) as well as revamping its Shurtan Gas Chemical Complex.
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The GTL project is expected to be the third-largest in the world when completed and was developed following discussions between Uzbekneftgaz and Abu Dhabi’s International Petroleum Investment Company (Ipic) in 2008. Ipic has since merged with Abu Dhabi strategic investment firm Mubadala. The plant, which is expected to cost around $2.5 billion is set to have a capacity of 1.3 million tonnes to process petroleum products such as diesel, kerosene, naphtha and liquefied petroleum gas. It is being developed by Uzbekneftgaz in an equal consortium with Malaysia’s Petronas and South Africa’s Sasol.
The expansion of the Shurtan Gas Chemical Complex is set to increase the production of polyethylene at the facility to 200,000 tonnes per annum from 125,000 tonnes at present. The value of the project has been pegged at around $400 million.