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Uzbekistan: Uzbekistan s government feasibility study for gas processing plant

2015/09/16

Uzbekistan's government has approved a feasibility study for the initial stage of the building a gas processing plant and equipment of the Kandym group of fields.

The construction of the Kandym gas processing plant, which is carried out by Lukoil company, is expected to strengthen economy of Uzbekistan, providing it with a solid infrastructure and a large consumer market.

The initial phase of Kandym gas processing plant, which is apart of the Lukoil project, will be commissioned by July 1, 2018, according to the Review.uz website.

The project contains equipping of 77 planned wells, construction of 6 well pads, 2 collection points, pipeline to export gas, shift camp, facilities of external infrastructure, gas processing plant of Kandym group of fields with an annual production capacity of 7.819 billion cubic meters of commercial gas, 134,360 tons of stable gas condensate, and 212,900 tons of elemental sulfur.

The second stage of the project envisages equipment of 21 planned wells, the construction of two of well pads, two booster compressor stations at gas gathering points deposits Kandy electric water supply facilities, communications and transport infrastructure in 2020 to 2029.

The third stage, which covers the period from 2028 to 2032, will equip 16 wells on Hoxha, Hoxha West, and Batteries-Parsankul with the construction of three well pads, two collection points and two booster compressor stations.

LUKOIL Overseas holds 90 % of stakes in the project, the National Holding Company Uzbekneftegaz posses the remaining 10 % of shares.

The Kandym project includes six gas condensate fields: Kandy, Kuvachi-Alat, Batteries, Parsankul, Hodge and Western Hoxha.

The Uzbek government will allocate about $200 million in external infrastructure of the Kandym gas processing plant, while the total cost of Kandym group of fields amounts to $2,662 billion.

The National Joint Stock Company Uzbekenergo and the National Joint Railway Company Uzbekistan Temir Yollari will construct the external electricity and railway infrastructure, inclunding a 220 kilovolt electricity supply line-of Kandym gas processing plant in 2015-2017.

The construction of the Kandym gas processing plant is LUKOIL's major investment project in Uzbekistan. The project will create over 2,000 jobs. During the peak construction period, it will employ additional than 10,000 workers at various facilities.

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