Malaysia, S Africa to build liquid fuel plant in Uzbekistan

18:15, 17 July 2009

TASHKENT. July 17. KAZINFORM /Rassul Bakhamnov/ Uzbekneftegaz National Company of Uzbekistan has entered into an agreement with Malaysia's Petroliam Nasional Bhd (Petronas) and South Africa's Sasol LTD on establishment of a joint venture for realization of synthetic liquid fuel production project, the press service of Uzbekneftegaz informs.

The venture will build liquid fuel production plant. The cost of the project is USD 2.5 bln. According to feasibility study, the plant will process up to 3.5 bln cubic meters of gas and produce 672 000 tons of diesel fuel, 278 000 tons of jet fuel, 361 000 tons of naphta and 63 000 tons of liquefied gas.

The plant is scheduled to be commissioned in 2014. The project will be financed by the loans and credits obtained by Petronas and Sasol to the amount if USD 2 bln, loan of Uzbekistan Reconstruction and Development Fund amounting to USD 220 mln and own funds of Uzebkneftegaz Holding.

It should be noted that Malaysia's Petronas is one of the key foreign partners for Uzbekneftegaz. It develops a number of large projects in the country's oil and gas sector.

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