Uzbekistan’s golden road to the future with environmentally friendly energy resources
OLTIN YO'L GTL intends to be one of the most advanced energy plants in the world in production of high quality fuels facilitating in the least impact on atmosphere air, to deliver a cleaner transport future and support economic growth and development.
Newsline
INTERNSHIP OF SPECIALISTS FOR GTL PLANT COMPLETED AT THE BUKHARA REFINERY
As part of the “Uzbekneftegaz” JSC internship program for trainees of a synthetic liquid fuel (GTL) plant, in 2017, “Bukhara Oil Refinery” LLC and “Uzbekistan GTL” LLC signed an Agreement on the training of specialists on the basis of the Bukhara Oil Refinery.
In the period from 2017 to 2021, only 160 selected young specialists, including the best alumnus of the oil and gas universities of the Republic, underwent practical and theoretical internship in the production shops and facilities of the Bukhara refinery. According to the results of the periodic final exams, today, in stages, 160 already experienced specialists have been transferred to the “Uzbekistan GTL” Company to continue their career at the GTL plant.
Young specialists who have undergone industrial internship at the Bukhara refinery are distinguished by their deep knowledge and skills gained thanks to their mentors - experienced and professional engineers of the refinery.
The “Uzbekistan GTL” Company expresses its sincere gratitude to the staff of the Bukhara Refinery for the valuable support in the field of internship and is confident in the further close, mutually beneficial and long-term partnership between the Plants.
Press-service
Uzbekistan GTL LLC
GROUP OF ENGINEERS OF UZBEKNEFTEGAZ GTL PLANT WERE AWARDED
As we reported earlier, on February 9 of this year, unit No. 71 was commissioned for the first time at the Uzbekneftegaz GTL plant, where the production of demineralized water was established.
In order for this unit to be successfully put into operation, the specialists of the plant have done a lot and at the same time important work that requires considerable training and certain knowledge.
For active participation in ensuring the receipt of raw water at the GTL plant, participation in the commissioning activities, as well as the commissioning of the unit No.71 of the plant, the head of the U&O Plant Boyburi Koraev, as well as specialists of the U&O Ikhtiyor Sadatov, Nozim Nusratov, specialist of the QA/QC department Salokhiddin Azimov, specialist of the instrumentation division Sherzod Parmanov, specialist of the commissioning and operation management department Nodirjon Sharipov, specialist of electrical division Abbos Meiliev, specialist of the mechanical division Farrukh Mamurov were awarded certificates of gratitude and memorable gifts from the General Director of Uzbekistan GTL and the trade union.
The company's management once again expresses its gratitude to the specialists who are actively working for the benefit of the early commissioning of the plant and wishes them success in their future work.
UZBEKNEFTEGAZ GTL PLANT STARTED PRODUCTION OF DEMINERALIZED WATER
On February 9, 2021 at the UGTL plant, a demineralized water production unit No. 71 was first put into operation. Demineralized water is water purified from impurities of ions, it is one of the most important resources necessary for the production and technological processes of the plant.
At the moment, unit No. 71, as part of the U&O Plant, of the UGTL plant operates in a stable technological mode, where the production of 100 tons of demineralized water per hour is established, which meets the technological requirements of the plant. In the near future, it is planned to start receiving fuel gas at the plant, commissioning boiler plants and start steam production. Pre-commissioning and commissioning activities at the Uzbekneftegaz GTL plant continue at an active pace.
A WATER FIRE EXTINGUISHING SYSTEM HAS BEEN PUT INTO OPERATION AT THE UZBEKNEFTEGAZ GTL PLANT
On February 11, installation No. 82 – the plant's water fire extinguishing system-was put into operation at the Uzbekneftegaz GTL plant. The main pumps of the GTL fire extinguishing system were manufactured by the Patterson Pump Company (USA). The total volume of the plant's fire-fighting water tanks is 40,000 cubic meters.
This unit is part of the U&O plant of the GTL Plant. All the key water pumps of this plant have passed the final tests and are fully operational.
It should be noted that earlier on February 9, the plant launched a demineralized water production unit. Pre-commissioning and commissioning activities continues.
UGTL PLANT ENGINEERS UNDERGO A TRAINING COURSE IN THE HONEYWELL AUTOMATED CONTROL SYSTEM
The latest-generation Honeywell Experion Orion Console control panels, the design of which was specially developed for the GTL plant which is now being constructed in Uzbekistan, have been installed at the synthetic liquid fuels production Plant.
These are the first Honeywell Experion Orion control panels which have been installed at a production plant in Uzbekistan and in CIS countries.
About 150 engineers undergo the specialized training in the automated production and process control system at the Honeywell specialized training center in Tashkent under the UGTL Plant specialists training program.
In 2019, at the initiative of Uzbekneftegaz JSC, Uzbekistan GTL and Honeywell GES Uzbekistan, Honeywell Technology Center hosted a presentation of simulators of the GTL plant control panel in Tashkent.
The training center has control panels similar to that of the UGTL Plant, which enable fully functional simulation of technological process, including emergency situations and contingencies to ensure training of engineers for various scenarios and stages of monitoring and management of the Plant’s production cycle.
The Plant itself also has in place a multifunctional system for training the control panel operators – OTS (Operator Training Simulator).This system allows engineers to continue their training in the Plant’s commissioning and operation.
The total of about 100 plant engineers have successfully completed training in Honeywell system.
The Plant's specialists carry on training and improving their knowledge for the upcoming commissioning works.
Information service of Uzbekistan GTL LLC
UZBEKISTAN GTL 2020-2021 ACADEMIC YEAR SCHOLARSHIP PROGRAM for OIL AND GAS STUDENTS - HONOURING THE WINNERS
On December 12-13, 2020, Shurtan Gas Chemical Complex, located in Guzar District of Kashkadarya Region, hosted the official awarding ceremony for winners of Uzbekistan GTL 2020-2021 academic year scholarship program for talented oil and gas students, with participation of active participants of the program, rectors, professors and teachers of higher educational institutions, as well as Deputy Minister of Higher Education Yu.Absoatov, management of Uzbekistan GTL LLC and Shurtan Gas Chemical Complex LLC.
12 award winners were selected from more than 1,200 students participating in this year's program. Given the significant growth in the number of participants and in order to support the talented students, the Competition Committee also awarded special certificates to 18 extra active participants who will also be able to do internship at the GTL Plant, train in Uzbekistan GTL, and be employed in the GTL plant in their specialties.
During the event, the winners of the scholarship program and active participants have been awarded special diplomas and certificates, as well as the Company’s memorable gifts. Uzbekistan GTL will pay monthly scholarships to 12 fellows during the academic year.
As part of the awarding ceremony the partner higher education institutions - Tashkent State Technical University, Tashkent Chemical-Technological Institute, National University of Uzbekistan, the branch of Russian State University Oil and Gas named after Gubkin in Tashkent, Karshi Engineering and Economic Institute, Bukhara Engineering and Technological Institute, Karakalpak State University named after Berdak and Fergana Polytechnical Institute, which have trained thousands of qualified personnel for oil and gas sector over the years, were awarded special сertificates of acknowledgement of the Chairman of the Board of Uzbekneftegaz JSC for their contribution to training of young professionals, development of scientific potential, including expansion of integration of science and oil and gas enterprises, as well as favorable cooperation with Uzbekneftegaz JSC and its subsidiaries - Uzbekistan GTL LLC and Shurtan Gas Chemical Complex LLC.
These higher educational institutions, Uzbekistan GTL LLC and Shurtan Gas Chemical Complex LLC signed Memoranda of cooperation.
The winners, active participants of the Uzbekistan GTL scholarship program, rectors, professors and teachers of higher educational institutions got acquainted with activities of Shurtan Gas Chemical Complex and construction of the GTL Plant.
The government plans to turn gas into petrol and plastics
Asia
Oct 3rd 2020 edition
Oct 3rd 2020
QARSHI
Uzbekistan, as any pub-quiz regular can attest, is doubly landlocked:
landlocked itself, and surrounded by landlocked countries. That is unfortunate, given that one of its main exports, natural gas, is increasingly traded by sea. What is more, the trend to liquefy gas and ship it around the world in giant tankers has given importers much more choice about where to buy. The result has been more competition, lower prices and thus a much more difficult market for countries like Uzbekistan that export their gas the old-fashioned way, by pipeline. As if to underline the idea that exporting gas by pipeline was an unreliable way to earn a living, China cut its imports of Uzbek gas by two-thirds this year amid the coronavirus-induced economic slowdown, and Russia shut them off altogether. Those two countries sucked up 80% of Uzbekistan’s $2.3bn of gas exports last year, leaving Uzbekistan with lots of gas it has no way of selling.
The government’s solution is to consume the gas itself. Near the industrial city of Qarshi, it is pouring $3.6bn into a plant that will turn Uzbekistan’s gas into petrol and other liquid fuels, a process called gas-to-liquids. It is also encouraging the construction of factories that use gas as a feedstock to make plastics and other petrochemicals. A Chinese-owned pvc factory, for instance, opened late last year about 140km from Qarshi. The plan is to end all gas exports by 2025, even as production of gas grows.
The global market for gas is volatile, complains Ulugbek Sayidov, chairman of the state-owned company that runs the country’s pipelines: “It’s better for us to use this gas on the domestic market as opposed to exporting it.” The government reckons it can make more money by processing the gas, as well as creating jobs and attracting investment. It believes manufacturing polythene, for instance, should generate eight times the value of simply selling the gas used to make it. It wants plastic production to grow 20-fold by 2030. Gas is not the only resource the government wants to put to better use: it hopes to end the export of raw
cotton this year, as well.
But gas-to-liquids, at least, is a capital-intensive technology that is usually viable only when oil prices are high, notes David Ramberg, a former academic. Only four other countries use it: Malaysia, Nigeria, Qatar and South Africa. The government, however, insists that even with the oil price at the current $40 or so a barrel, it will save $1bn a year on fuel imports. Oltin Yo’l (Golden Road), the gas-to-liquids plant, will be pro_table when it opens next year, promises Bekhzot Normatov, a deputy energy minister. Even sceptics concede that its output is more valuable than unsold gas, stranded untouched below the steppe.
The Chairman of the Board of Uzbekneftegaz JSC visited the GTL Plant Construction Site
April 08, 2020.
On April 6, 2020, the scheduled field meeting led by M.R. Abdullayev, the Chairman of the Board of Uzbekneftegaz JSC, was held at the Construction Site of “Production of synthetic liquid fuel on the basis of purified methane of Shurtan Gas Chemical Complex” Investment Project.
The meeting was attended by executive managers of Uzbekneftegaz JSC, Uzbekistan GTL LLC, heads of the Project directorates of the EPC Contractor - Consortium of Hyundai Engineering Ltd. and Enter Engineering Pte. Ltd., TechnipFMC, Project Management Consultant, as well as responsible specialists.
As of today, the overall progress of the project has reached 86%. About 10 thousand people have been mobilized and 936 units of construction equipment have been involved at the Construction Site.
During the field meeting, M.R. Abdullayev, the Chairman of the Board of Uzbekneftegaz JSC, had reviewed in detail the pace of construction and installation works of the main process units of the GTL Plant, and the actions taken to protect the life and health of each employee involved in implementation of the Project.
Despite the current epidemiological situation in Uzbekistan and throughout the world, the construction of the largest GTL Plant in the region is being continued at an active pace, with all necessary preventive measures being taken to protect the life and health of every employee involved in the implementation of this strategically important project.
At the end of the field meeting, the Chairman of the Board of Uzbekneftegaz JSC instructed to ensure completion of construction and installation works by the scheduled dates, through fullest possible leveraging of specialists, equipment and resources
Press center of Uzbekistan GTL
An expanded meeting of the Ministry of Energy of the Republic of Uzbekistan and Uzbekneftegaz JSC was held at the Construction Site of the GTL Plant.
An expanded meeting of the Ministry of Energy of the Republic of Uzbekistan and Uzbekneftegaz JSC chaired by A. S. Sultanov, the Minister of Energy,was held on May 31, 2020at the Construction Site of the GTL Plant in Kashkadarya Region.
During the workshop, the progress of the entire GTL investment Project, the pace of construction and installation works, the progress of pre-commissioning of a number of GTL plant equipment and process units were reviewed in detail, and special attention was paid to training of the Plant's commissioning and operating personnel.
The meeting was attended by the managers of the Ministry of Energy, Uzbekneftegaz JSC, Uzbekistan GTL LLC, Shurtan GCC LLC, Eriell Group LLC, heads of Hyundai Engineering Ltd. Co. and Enter Engineering Pte. Ltd., the Project Directorates of the EPC Contractor’s Consortium, TechnipFMC project management consultant, as well as responsible specialists.
During the meeting, A. S. Sultanov, the Minister of Energy, noted: “It is necessary to ensure high qualification readiness of specialists who will start up this Plant.
Given the novelty and complexity of technological processes, and that there are no similar production facilities in Uzbekistan and throughout the region, it is very important that all specialists who will perform the start - up and commissioning of the Plant are very well prepared, trained and have sufficient knowledge and skills.”
It was also noted that the best engineers of the Shurtan Gas Chemical Complex, Ustyurt Gas Chemical Complex, and Bukhara Oil Refinery will be invited to launch this Plant, and it is also necessary to attract experienced specialists from TechnipFMC, Oryx GTL and EGTL
Commissioning of the Plant for production of synthetic liquid fuel based on the Shurtan Gas Chemical Complex will help cutting imports of jet fuel and diesel to Uzbekistan significantly. From 2021, the Plant will start producing synthetic diesel fuel, kerosene, naphtha and liquefied gas from natural gas [methane], gradually reaching the full design capacity.
Once the full design capacity is reached, the Plant will annually process 3.6 BCM of natural gas (methane) and produce 1.5 million tons of high-quality synthetic liquid fuel, including more than 307 thousand tons of jet fuel, 724 thousand tons of diesel fuel, 437 thousand tons of naphtha and 53 thousand tons of liquefied gas
958 packages of core process equipment have already been delivered to the Construction Site, of which about 700 packages total over 35 thousand tons, have already been installed in the technological part of the Plant. Assembly and installation works of Fischer-Tropsch reactors have been fully completed.
Specialists from all over the Republic have been selected for operation of the Plant. They have completed production training at Shurtan Gas Chemical Complex, the Bukhara oil refinery, and practical training at Ustyurt gas Chemical Complex and the similar Oryx GTL plant in Qatar. Operating personnel keep on training. The trainers are experienced engineers of the Plant’s licensors, manufacturers of equipment, including production process control systems.
The GTL Plant in Uzbekistan, with a total cost of more than $ 3.61 billion, will be one of the most innovative production enterprises in the region, will expand capacities for deep processing of natural gas, reduce import of hydrocarbons, meet the country's needs for modern, high-quality and environmentally friendly fuel, and provide the market with strategic products made from its own raw materials.
For reference: the investment project implementation has entered the final stage and been completed by more than 87 per cent. The construction works are currently in progress at the Plant’s construction site in Kashkadarya region, with involvement of about 11 thousand workers and specialists, including foreign ones, and mobilization of 973 units of equipment. It is worth noting that the work is being performed in several shifts, meeting safety requirements of workers on a first-priority basis and in strict compliance with all quarantine and sanitary-epidemiological requirements, as well as exercising strict quality control. Completion of the Plant construction is scheduled for the end of this year, and at the moment, pre-commissioning works have already begun at some of the Plant's process units.
Employees of "Uzbekistan GTL" LLC have also contributed to the charity event and transferred a part of their salary to the “Mercy and health of Uzbekistan” Public Fund to help fight the spread of coronavirus infection and support people in difficult situations.
The Company's management thanks all employees for their sympathy and support for this initiative.
Together we will defeat this virus!
Official channel of Uzbekistan GTL
CONSTRUCTION OF UZBEKISTAN GTL PLANT RAILWAY INFRASTRUCTURE HAS BEEN LAUNCHED
On March 27, 2020, construction of the plant railway infrastructure was launched at the construction site of the GTL plant in Kashkadarya region, as part of the "Production of synthetic liquid fuel based on purified methane of Shurtan Gas Chemical Complex" Investment Project.
According to the Project, a total of over 11 km of railway tracks will be built, including 6.5 km to be built within the Plant area, with 4 overpasses allowing to maintain up to 8 tank cars and accept up to 32 tank cars all at the same time.
The railway infrastructure is being constructed by professionals - specialists of Uzbekiston Temir Yullari JSC", by order of Shurtan GCC and through extensive collaboration of Uzbekistan GTL LLC and Uzbekneftegaz JSC specialists.
As of March 30, 1.6 km of internal railway tracks have already been built.
The railway infrastructure under construction will ensure annual shipment of up to 1.5 million tons of high-quality and environmentally friendly oil products under Oltin Yo'l GTL trade mark from Uzbekistan GTL Plant to the domestic market and for export.
Despite the current epidemiological situation in Uzbekistan and all over the world, construction of the largest plant for production of synthetic liquid fuel in the region is in progress, with all necessary preventive measures taken to protect the life and health of every employee involved in implementation of this strategically important project
Press center of Uzbekistan GTL
CHAIRMAN OF THE BOARD OF UZBEKNEFTEGAZ JSC REVIEWED THE CURRENT PROGRESS OF THE GTL INVESTMENT PROJECT IN KASHKADARYA REGION
On February 1, 2020, a field meeting led by M.R. Abdullayev, the Chairman of the Board of Uzbekneftegaz JSC, was held at the Construction Site of “Production of synthetic liquid fuel on the basis of purified methane of Shurtan Gas Chemical Complex” Investment Project in Guzar district of Kashkadarya Region.
The meeting was attended by executive managers of Uzbekneftegaz JSC, Uzbekistan GTL LLC, and heads of the Project directorates of the EPC Contractor - Consortium of Hyundai Engineering Ltd. and Enter Engineering Pte. Ltd., TechnipFMC, Project Management Consultant, as well as responsible specialists.
During the field meeting, M. R. Abdullayev, Chairman of the Board of “Uzbekneftegaz” JSC, reviewed in detail the construction of key process units of the GTL Plant, including the Central control room.
At the end of the meeting, the Chairman of the Board directed to speed up execution of construction works, through fullest possible leveraging of specialists, equipment and resources, and issued a number of other instructions to ensure timely completion of construction and start-up of the Plant this year.
Press-center of Uzbekistan GTL
REPRESENTATIVES OF GAZPROMBANK, ROSEXIMBANK, EXIAR AND THE FUND FOR RECONSTRUCTION AND DEVELOPMENT OF UZBEKISTAN VISITED THE GTL CONSTRUCTION SITE
On January 22, 2020, a delegation of Fund for Reconstruction and development of the Republic of Uzbekistan and Russian lenders of the Project, visited the Construction Site of the GTL Plant in Uzbekistan. The delegation is comprised of representatives of Gazprombank JSC, Roseximbank JSC, the Russian Agency for export credit and investment insurance (EXIAR), as well as the Fund for Reconstruction and development of the Republic of Uzbekistan which are among the key partners of the Project.
The current status of the Project and progress of construction and assembly works had been presented by representatives of Uzbekistan GTL, and issues of further mutually beneficial cooperation under the “Production of synthetic liquid fuel based on the purified methane of the Shurtan Gas Chemical Complex” Investment Project, had been discussed during the visit.
The delegation also met representatives of TechnipFMC, the Project Management Consultant.
For reference: At the moment, about 9 thousand people are involved in implementation of the Project, of whom over 7.5 thousand are involved in construction and assembly works. 905 units of construction and special equipment were mobilized at the construction site. The progress is well under way.
In total, 901 out of 1,045 (or 86% of the total quantity) process equipment packages were delivered to the construction site, with nearly 600 packages already installed in the process area (with a total weight of over 31,000 tons).
Gazprombank JSC, Roseximbank JSC, EXIAR and the Fund for Reconstruction and development of the Republic of Uzbekistan participate in financing of the “Production of synthetic liquid fuel based on the purified methane of the Shurtan Gas Chemical Complex” Investment Project (UzGTL/Oltin Yo’l GTL Project).
The program of the Russian delegation's visit includes a scheduled meeting with representatives of Uzbekneftegaz JSC, where the parties will discuss further mutually beneficial cooperation between the companies.
Press-center of Uzbekistan GTL
In order to strengthen cooperation between the Company and higher educational institutions of the country, to provide worthy financial and moral support to gifted students, as well as to attract young and promising specialists to work in the Company, a special UzGTL scholarship program was developed and implemented for university students in technical areas of the Republic. About 900 students participated in the program held in September - December months.
At present, the selection process has been completed and an award ceremony for the winner of the UzGTL Scholarship contest was held at the construction site of the plant and in the Tashkent office of the Company.
In addition to the ceremony of presenting diplomas and memorable gifts to the Company, a tour of the construction site of UzGTL plant and familiarization with the Tashkent offices and employees of the Company was organized, as well as a large festive table was set up for all employees and guests of the event in honor of New Year celebration.
As it was previously reported, 12 students were identified at the end of the contest, which proved to be comprehensively developed, as well as the programs that meet the above requirements. According to the conclusions of the organizational commission, the following students are the winners of the Company's first scholarship program:
1. Abdramanov Jetkerbay Parakhatbayevich, Karakalpak State University;
2. Dusmurodov Begzod Sobir ugli, Karshi Engineering and Economic Institute;
3. Quzibayev Shikhnazar Farhod ugli, Tashkent Institute of Chemistry and Technology;
4. Quziev Javlonbek Musamadovich, Tashkent State Technical University named after Islam Karimov;
5. Murodova Yulduz Malikjon qizi, Bukhara Institute of Engineering and Technology;
6. Nuraddinov Nuraddin Odamboy ugli, Bukhara Institute of Engineering and Technology;
7. Sunatov Shohrukh Shamsiyevich, Mirzo Ulugbek National University of Uzbekistan.
8. Usmanov Umidjon Ravshan ugli, Turin Polytechnic University in Tashkent;
9. Halimov Adkhambek Akram ugli, Karshi Engineering and Economic Institute;
10. Ashirov David Shavkatovich, Branch of Gubkin Russian State University of Oil and Gas;
11. Gavhar Rashidovna Akhmedzhanova, Branch of Gubkin Russian State University of Oil and Gas;
12. Mukhiddinov Sherzod Sanjar ugli, Branch of Gubkin Russian State University of Oil and Gas.
The winners of the Scholarship Program will receive UzGTL Scholarship on a monthly basis for one academic year, and they will be provided with assistance in completing their production and pre-diploma internships, as well as being included in the company's personnel reserve for further employment at GTL plant.
Uzbekistan GTL Company once again congratulates all the winners of the Contest, wishes them success in their studies and achieve high results in their future professional activities in the oil and gas industry.
REPRESENTATIVES OF THE EXPORT–IMPORT BANK OF KOREA, (KEXIM) AND KOREA TRADE INSURANCE CORPORATION (K-SURE) VISITED THE GTL CONSTRUCTION SITE
As part of multilateral cooperation of Uzbekneftegaz JSC with KEXIM and K-SURE, at the invitation of the Uzbek party, the delegation of the Export–Import Bank of Korea, headed by Director Mr. Koh Jung-Yul, and representatives of the Korea Trade Insurance Corporation, headed by Mr. Oh Jung-Hyun, Senior Director, visited Uzbekistan.
On December 12, 2019, the delegation visited the GTL Plant Construction Site in Kashkadarya Region, where they got acquainted with the current status of the Project and the progress achieved.
During the visit, representatives of Uzbekistan GTL LLC made a presentation of the current progress of construction and assembly works, and discussed matters of further mutually beneficial cooperation under the “Production of synthetic liquid fuel based on purified methane of Shurtan Gas Processing Complex” Investment Project.
The Export–Import Bank of Korea and Korea Trade Insurance Corporation participate in financing of the “Production of synthetic liquid fuel on the basis of purified methane of Shurtan GCC” Investment Project.
The program of the visit of the delegation includes a meeting with the management of Uzbekneftegaz JSC, at which the parties will discuss further mutually beneficial cooperation with the companies within the framework of successfully implemented and ongoing investment projects.
Press-service of JSC "Uzbekneftegaz"
Haldor Topsoe and Sasol unite to offer customers single-point licenses for proven gas-to-liquids solutions
Sasol and Haldor Topsoe, two of the global leaders in gas-to-liquids (GTL) technology, have entered into a collaboration agreement to offer single-point licensing of proven and bankable GTL solutions to produce diesel, kerosene and naphtha from natural gas.
The Sasol-Topsoe partnership is a response to growing worldwide demand for efficient solutions to monetize natural gas reserves.
Together, the two companies offer medium to world-scale sized GTL solutions that are positioned to meet the demands of a sustainable future.
Today, Topsoe and Sasol announced that they have entered into a collaboration agreement to jointly license their GTL technologies. For many years, the two companies have worked together on numerous GTL projects and technologies, and Topsoe’s SynCOR™ technologies and Sasol’s Fischer-Tropsch technologies have been licensed into several world-scale GTL ventures.
Acting Executive Vice President of Sasol, Marius Brand, (left) and CEO and President of Topsoe, Bjerne S. Clausen, signed the partner agreement witnessed by (from left to right) Vice President of Sasol, Theo Pretorius, Deputy CEO of Haldor Topsoe, Amy Hebert, and Vice President of Topsoe, Fei Chen.
Under the collaboration agreement, the companies will continue to offer these core technologies and will now also provide Topsoe’s hydroprocessing and hydrogen technologies. This gives potential customers access to a single-point licensing offering that covers the entire value chain from gas feed to liquid fuels. As single-point licensors, Sasol and Topsoe will offer customers all necessary technology licenses for a complete GTL solution and in addition provide basic engineering, catalysts, and hardware.
TechnipFMC has been pre-approved to provide licensor engineering support and carry out front-end engineering design, detailed design, procurement, and construction. TechnipFMC was the engineering, procurement and construction (EPC) contractor for the Oryx GTL facility in Qatar and has performed a number of front-end engineering designs for GTL facilities, including the Uzbekistan GTL.
“It is a pleasure to announce this collaboration. Together, Sasol and Topsoe now offer customers complete and proven end-to-end GTL solutions. This is unique and extremely valuable for customers seeking bankable GTL solutions for monetizing abundant natural gas reserves. With this collaboration, we now offer customers a full range of solutions based on many of Topsoe’s core technologies, and we are excited to expand our companies’ global leadership for proven gas monetization solutions,” says Amy Hebert, Deputy CEO of Topsoe.
Marius Brand, Acting EVP Technology of Sasol, adds: “Sasol and Haldor Topsoe’s technology relationship spans more than 20 years, through which we have successfully commercialized several advanced technologies. We are delighted to enter into this collaboration arrangement, and with the support of TechnipFMC we’re able to offer the best GTL technology to the market. Although Sasol announced in 2017 it would not pursue future equity participation in greenfield Coal to Liquids or GTL opportunities, we recognize that our Fischer-Tropsch technology has a role to play in monetizing in-country natural gas resources otherwise not accessible. In addition, the technology could play a significant role, in conjunction with renewable energy resources, in the conversion of greenhouse gases to sustainable liquid fuels. The combination of the Sasol and Topsoe technologies offers a proven and robust solution for these applications.”
Released first stage results of UzGTL scholarship program
We inform you that the first stage of the competition, which lasted from September 15 to October 15 of this year, has been completed on receiving a scholarship from “Uzbekistan GTL” LLC for students of higher educational institutions, namely, the deadline for submitting applications was 18:00 on October 15, 2019. During this time, we have received more than 850 applications in electronic version from university students to participate in the Competition. The Commission is currently considering and evaluating applications.
As previously reported, the 2nd stage of the competition was planned to be held in Tashkent and Karshi. However, given the large number of applications from students studying in Bukhara, Navoi and Nukus, the dates and venues of the competition will be as follows: 1.October 19, 2019 - on the territory of the Tashkent branch of the Russian State University of Oil and Gas named after Gubkina, in Tashkent. 2. October 21-22, 2019 - at the Karshi Engineering and Technology Institute, Karshi. 3. October 23, 2019 - on the territory of the Bukhara Engineering and Technology Institute in Bukhara.
In total, 272 applications were received from undergraduate students in Tashkent, of which 172 were selected for the second round of the scholarship program:
Currently, electronic applications from the cities of Karshi, Bukhara, Nukus and Navoi are being considered, which will be announced shortly.
Attention! Students who have not submitted their passport or student ID will not be allowed to take exams.
Specialists of GTL Plant, being constructed in Uzbekistan, undergo operational training at Oryx GTL Plant in Qatar
Construction of GTL Plant (“gas-to-liquids”) in Uzbekistan continues at an active pace. The overall progress of the turnkey contract (EPC contract) execution has exceeded 76.6%.
Construction-and-assembly operations are in progress at the Construction Site of GTL Plant for production of synthetic liquid fuel in Kashkadarya region. Over 33% of the total construction works has already been completed. Production and delivery of materials, as well as technological equipment to the Construction Site have reached their final stage. Assembly and installation of Fischer-Tropsch reactors – the so - called "heart" of the gas-in-liquid (GTL) process - have almost been completed. The current progress of the reactors assembly exceeded 93%. Completion of reactor installation is scheduled for this September. To date, more than 6 thousand workers and specialists, including foreign ones, have been involved in construction works, and about 750 units of equipment have been mobilized.
At least 100 specialists of Uzbekistan GTL LLC will undergo operational training and probation in 2019-2020 at the Oryx GTL Pant in Qatar under agreements reached as part of the staff training program for the GTL Plant, initiated by Uzbekneftegaz JSC, for further training of local specialists for commissioning and operation of the Plant. Oryx GTL in Qatar, is similar to the Plant being constructed in Uzbekistan, in its production capacity and technology.
Oryx GTL is a synthetic liquid fuel producing plant based in Ras Laffan Industrial City of Qatar. The plant is owned by Qatar Petroleum (51%) oil and gas company and Sasol (49%). Production output of Oryx GTL in 2007 reached 34 thousand barrels per day of liquid oil products. GTL Plant under construction in Uzbekistan will produce about 38 thousand barrels per day.
The first 25 specialists of Uzbekistan GTL Plant have already been taking operational training at the Qatar Plant which will run from June to July of this year. Uzbekistan GTL specialists participate in the process of mode operation and maintenance of the Plant. At the same time, with the close assistance of the plant personnel, the main production bottlenecks which arose during Oryx GTL Plant commissioning and operation stages, are being studied so as to prevent them during the start-up of Uzbekistan Plant and ensure its stable and smooth commissioning.
“-We have met experienced specialists who have been working at the Oryx GTL Plant for many years, and very carefully and in every details share with us their experience of the plant commissioning and operation. We find very friendly atmosphere here. Specialists of the Qatar Plant do not hide great interest in the GTL Plant being constructed in Uzbekistan. Our colleagues have also heard a lot about Uzbekistan, especially about Samarkand and Bukhara, and told us that they plan to visit these famous city-museums. Surely, this is most welcome and encouraging. We are very pleased to know this. What most surprised our colleagues is that our delegation is very young, and they are glad that such young professionals as we are, will startup the Plant at home. In my experience, this will be the second plant, in start-up of which I will take part, it is not only a great honor for me and my colleagues, but also a great responsibility, which we are fully aware of, and therefore we try to study as much as possible all the nuances of start-up and management of the Plant...”- Nosir Zakiryanov, head of Commissioning and Operation Department of Uzbekistan GTL, shares his impressions.
This agreement will upgrade professional skills of Uzbekistan specialists and enable them to learn process operations of Oryx GTL and its commissioning and maintenance. Besides, as part of the staff training program, in 2019-2020 the company's specialists will undergo specialized training at plants of process equipment manufactures and technology licensors abroad. Honeywell UOP Uzbekistan has also expanded its technology center in Uzbekistan for training and education of GTL Plant specialists.
Uzbekistan reforms target energy independence
President Shavkat Mirziyoyev takes an active role in overseeing the country's oil and gas industry, and wants international players in the mix
Uzbekistan President Shavkat Mirziyoyev has initiated a wave of economic reforms in the country since he assumed power at the end of 2016 following the sudden death of predecessor Islam Karimov, who remained in the top post for 27 years.
The reforms aim to introduce more economic freedoms to the Uzbek population and to promote private entrepreneurship as the country prepares to deregulate prices of commodities, including natural gas, while increasing the country’s exposure to the world economy.
The drive has been led by Mirziyoyev, who personally oversees new key projects and initiatives, including exploration and production targets, and issues orders to Uzbekneftegaz and other state-owned companies.
“We have received clear instruction from the President to ensure the presence of large international oil and gas companies in the country,” says Uzbekneftegaz chairman Bakhodirzhon Sidikov.
Progress
When not visiting construction sites across Uzbekistan, Mirziyoyev monitors the progress of important projects via conference calls that sometimes may include thousands of listeners, or direct regional meetings.
A graduate of the Tashkent Institute of Irrigation & Agricultural Mechanisation Engineers in 1981, Mirziyoyev opted to continue his career with the institute until 1992.
After holding several government posts, he was appointed Uzbekistan’s prime minister in 2003, a position that gave him greater insight into the heavily regulated Uzbek economy, which was subject to sudden and frequent fluctuations during Karimov's rule.
One famous example of government intervention was the 2010 dismantling of private sector conglomerate Zeromax, which held a significant stake in the country's oil and gas and mining industries.
Zeromax, which fell under the control of Karimov’s daughter Gulnara following its quick growth, was once Uzbekistan's largest private-sector employer, with over 27,000 employees and more than $1 billion in annual revenues.
Goal
In addition to market liberalisation, Mirziyoyev is also understood to he behind a goal to make landlocked Uzbekistan an energy-independent country, despite the steep price of such an effort.
The country is preparing to start developing its coal reserves, estimated at about three trillion tonnes, with coal being considered a cheaper alternative to gas despite its more harmful environmental footprint.
However, in the view of the president, burning gas for heating of homes and greenhouses is “barbarism”, according to the country’s recently appointed Energy Minister Alisher Sultanov.
Mirziyoyev has clearly indicated that natural gas should be used as feedstock to produce chemicals and polymers, which have significant added value, rather than sent to export destinations, Sultanov says. To make more gas available for conversion into polymers and synthetic fuels, Mirziyoyev has also approved programmes to increase energy efficiency and develop alternative energy sources in the country.
Earlier in May, Sultanov and the executive director of Russian state nuclear operator Rosatom, Alexei Likhachyov, signed a road map to build the first ever nuclear power plant in Uzbekistan.
Construction of the facility is expected to start in 2022 and will take at least seven years to complete, with the project set to be financed by Russian banks.
Uzbekneftegaz set to face sweeping changes
Authorities in Uzbekistan have laid out a plan to break up state-owned oil and gas conglomerate Uzbekneftegaz in a bid to increase transparency and provide equal terms for other players in the country’s oil and gas sector, writes Vladimir Afanasiev.
According to Uzbekneftegaz chairman Bakhodirzhon Sidikov, the company may be split into three businesses as early as the end of this year.
The first company will encompass Uzbekneftegaz’s oil and gas assets. It will also include gas processing and polymers plants as well as oil refineries.
The second company will take ownership and control of Uzbekistan’s oil and gas trunkline networks, which are currently operated by a subsidiary of Uzbekneftegaz.
Major players in Uzbekistan, such as Russian oil producer Lukoil, China National Petroleum Corporation and others, want to see the networks operated by a government-owned organisation independent from the oil and gas producer, Sidikov says.
Finally, the third company will embrace regional gas distribution to deliver gas to end users in the country, he says.
Initially, the authorities expect a single company to deal with regional gas distribution and sales.
However, this operator will later be split into several units, with the government hoping for private investors to buy minority stakes in the newly established gas distributors.
According to Sidikov, Uzbekneftegaz has sought advice for its reform plan from Boston Consulting Group. A steering committee has already been established, with Lukoil and other international players offering advice on the deregulation.
“We need to understand how smoothly we can effect this transformation, because in our opinion it is a very difficult task,” Sidikov says. “However, the country needs to use its energy resources more efficiently. Private companies are more inclined to do that.”
Sidikov has acknowledged the challenges facing deregulation, including the secrecy that surrounded the oil and gas industry during the nearly three-decade tenure of former president Islam Karimov.
“For every information disclosure to a potential partner, we had to obtain a Presidential decree to permit us to do that,” Sidikov says.
“We are preparing changes to legislation so we can openly share information on Uzbekistan's oil and gas reserves, fields and production statistics with investors.”
Uzbekneftegaz long neglected to provide sufficient investment in its upstream projects, especially its oil producing sector, Sidikov acknowledges.
To reverse the decline, President Shavkat Mirziyoyev has signed a decree to speed up exploration activities in the country, according to Sidikov.
A second decree calls for Uzbekneftegaz to carry out a massive well workover programme to tap remaining reserves at its existing fields, bringing in foreign partners and investors.
Uzbekneftegaz is also going deeper with drilling, with good results from wells already seen in the Ustyurt gas province.
“We will consider moving drilling rigs to other regions [of the country] to explore deeper layers,” Sidikov says.
Authorities hope the country’s gas production will rise to 70 billion cubic metres by 2025.
Uzbekistan expects its total gas output this year to hit about 63 Bcm, of which 43 Bcm will be produced by Uzbekneftegaz and around 16 Bcm by privately held Russian company Lukoil.
DEEP PROCESSING OF HYDROCARBONS. EXISTING AND UNDER CONSTRUCTION ENTERPRISES
UZBEKISTAN FOCUSES ON MID/DOWNSTREAM
Famously landlocked by other landlocked countries, Uzbekistan is seeking to add value to its trapped gas and to save on imports of liquid fuels.
Uzbekistan plans to invest $33bn in its oil and gas sectors during 2019-2025, but the focus is to be on the mid- and downstream sectors, senior officials from government and the oil company Uzbeknekftegaz told journalists in Tashkent mid-May.
Converting gas to value-added products as well as improving the grid, where a fifth of the country’s total production is lost, is where the country will direct its efforts, once it has achieved a modest rise in output in the coming few years. State-run Uzbekneftegaz, which accounts for 70% of the gas production and 15% of its gross domestic product said that over the last year, investments in this sector totalled $2.3bn and of that, $952.5mn came from overseas. It expects to see investments this year rise to $2.6bn, of which about $1bn will be from abroad. Uzbekistan attracted a total $2.6bn in foreign direct investment (FDI) last year, so the share of foreign investment in the oil and gas sector is significant. For the current year, the country expects to receive $4.1bn FDI in all sectors. Two major downstream projects are the expansion of the Shurtan gas to petrochemicals (GTP) plant, as well as its gas-to-liquids plant (GTL). The $1.765bn Shurtan GTP expansion contract was signed in November 2017, adding 280,000 mt/y of output. It will turn 3.9bn m³/yr of raw gas into 3.6bn m³/yr of purified methane which will be delivered to the GTL plant. The GTL plant will cost $3.6bn and turn the 3.6bn m3/yr methane into 307,000 mt/yr of kerosene, 724,000 mt/yr of diesel, 439,000 mt/yr of naphtha and 53,000 mt/yr of LPG. The produced naphtha will then return to Shurtan to be converted into 505,000 mt/yr of various polymers. Uzbek energy minister Alisher Sultanov told NGW on the sidelines of the 23rd international exhibition and conference "Oil and Gas of Uzbekistan” that the GTL plant will be ready by end-2020. Of the overall cost of GTL plant, $2.3bn has already absorbed from various financial sources. “We import 1mn mt/yr of liquid fuels,” he said. “The GTL plant will allow us to end that. We have the Shurtan expansion, expected to become full operational in 4Q 2021 and then there will be a third plant for converting methane to olefins (MTO).”
“Currently Uzbekistan supplies gas to its neighbors and China,” Sultanov said. “In 2016, we approved a plan to boost production by 30% to 73bn m3/yr by 2021. That gas will be used both for export and for processing into value-added products. For 2019, we plan output of 63.6bn m3 – 43bn m3 will come from Uzbekneftegaz. The group of investors includes Uzkimyosanoat, Air Products & Chemicals, Uzbekneftegaz and Singaporean Enter Engineering signed a contract May 20 to construct the MTO, which is designed to convert 1.5bn m3/yr of gas into a range of petrochemicals. Coming to the expansion of Shurtan, Uzbekneftegaz will invest $350mn of its own money and the rest of the financing will come from Gazprombank, Credit Suisse, Mitsubishi UFJ Financial Group and China Development Bank. Enter Engineering has been developing the plant under a technology licence from Chevron and CB&I Lummus. The plant is due to be complete in the fourth quarter of 2020. Uzbek gas production grew by just 6.1% last year to total 59.84bn m³, the central Asian republic's state statistics committee said January. The gain fell far short of the planned 16.8%. However, Sultanov said the volume would reach 63.6bn m3 in 2019 and 73bn m3 in 2021. Most of that output growth would be directed at the two Shurtan plants.
For the next years, the focus would be on maintaining the production level and improving the grid, where a fifth of total production vanishes.
Sultanov also said that about 90% of power generation in the country comes from gas. “In 2020s, GDP is expected to grow constantly at a high rate and the domestic energy demand will increase. For instance, we expect electricity demand to grow from 62.8 TWh in 2018 to 110 TWh by 2030,” he said. Uzbekistan and Russian Rosatom have signed a contract to build a 2.4-GW nuclear power plant which is projected to become operational by 2028. The plant would release another 3.7bn m³/yr of gas for local industry and households.
Sultanov said about 30% of the gas produced is used in the residential sector. The country has raised gas prices for domestic market five times since 2014 with a further increase due mid-2019 in order to dampen demand and save on subsidies. According to the International Energy Agency, Uzbekistan's subsidies totalled $3.8bn for gas (up 4.9% year on year) and $1.3bn for electricity (up 52%) in 2017, together representing 12% of GDP.
The country has planned to increase gas and electricity prices for domestic consumers by 12% from June 1. But the prices are still a long way below international markets: som 350/ m³ or about $41/”000 m³. Russian private producer Lukoil produced 13.42bn m3 last year and Gazprom also produced 0.4bn m3 in 2018. Uzbekneftegaz is supposed to pay Lukoil a higher price for the gas than it can sell it for on the household market. But Lukoil claimed in March that Uzbekistan had racked up $600mn in debt in 2018, as it took more than its share of gas for the local market and did not pay for it in full.
Lukoil’s share of production from Uzbekistan is likely to grow to 14.5bn m3 this year, of which the Russian company plans to deliver 5bn m³ to local customers. The rest will be sent to China and Russia. Since 2004, Lukoil has spent $8bn in Uzbekistan. CEO Vagit Alekperov said April 25 that the company plans to invest $2bn in its Uzbek gas projects to boost production to 18bn m3/yr by 2020.
Uzbekistan also plans to expand the upstream activities, but mostly it is aiming at maintaining the production level rather than growth. In May, UK major BP, state-run Azeri Socar and state Uzbekneftegaz sealed an agreement to jointly study the prospects for the exploration and development of a number of blocks including Uzbek part of the Aral Sea, Sam- Kosbulak and the Baiterek investment blocks of the Ustyurt region.
Separately, Socar subsidiary Nipi Neftegas signed an agreement with staterun Uzbekneftegaz to increase hydrocarbon production at the country’s West Tashli, East Tashli, North Shurtan and Garmiston fields, using advanced methods and technologies from Socar, the Uzbek company announced May 19.
Uzbekistan exported 8bn m3 to China, 0.5bn m3 to neighboring countries and about 7bn m3 to Russia in 2018 (including Lukoil and Gazprom’s share). The country plans to increase exports to China to 9bn m3 in 2019. “We also plan to transit 40bn m³: of that, 3bn m³ will be Turkmen gas to Russia and the rest, Turkmen gas to China; and deliver 1bn m3 to Kazakhstan’s southern regions,” Sultanov said. However, an official told NGW anonymously that the country’s revenues from gas transit is very low, without mentioning any figure. State-run Uzbekneftegaz will be split up and also it will try to raise $2bn in new debt as it bids to compete with international rivals, CEO Bahodirjon Sidikov said May 15. “The company constitutes 70% of Uzbekistan’s gas production and 15% of GDP, but fundamental reform is needed,” he told journalists.
The CEO said the firm will be split into three independent companies operating in the upstream, mid-stream, and downstream segments, to improve “management and transparency”. The plan for the demerger should be completed this year, he told NGW. Sidikov also spoke of plans to sell a $1bn Eurobond in mid-2020 and borrow a further $1bn from the Asian Development Bank. The proceeds would be used to “help accelerate investments,” he added, especially to improve the state of the country’s gas grid, through which around one-fifth of total production is currently lost. Uzbek energy minister Alisher Sultanov said that the state is busy carrying out reform across all of the country’s energy sectors in a bid to boost efficiency, productivity and transparency, and to boost revenue.
CHINA DEVELOPMENT BANK IS INTERESTED IN EXPANDING COOPERATION
Representatives of the Ministry of Energy and Uzbekneftegaz JSC met with members of delegation of China Development Bank (CDB) and discussed the issues of mutually beneficial cooperation.
As part of the talks, foreign guests were provided with information on the ongoing reforms in fuel and energy sector of Uzbekistan. Other aspects of the partnership in this area were also discussed.
In turn, representatives of China Development Bank expressed their satisfaction with reforms being implemented in Uzbekistan fuel and energy complex, noting the increased interest and desire of foreign investors to cooperate. They also provided information on activity of the financial institution, positive experience in implementation of key investment projects in oil and gas industry of our country.
The successful participation of the Bank in funding of construction of a new plant for production of synthetic liquid fuel - Uzbekistan GTL, was cited as an example.
On the basis of the parties ' interest in strengthening the partnership, representatives of China Development Bank were proposed to consider participation in the projects “Expansion of production capacities of Shurtan Gas Chemical Complex”, introduction of Automated Gas Fiscal Metering System, production of olefins (CTO) and liquid fuels from coal (CTL).
Following the meeting, it was agreed to continue the dialogue and explore potential of the cooperation.
LOCAL AND FOREIGN MASS MEDIA REPRESENTATIVES VISITED TWO MAJOR ENERGY FACILITIES IN KASHKADARYA
Ministry of Energy of the Republic of Uzbekistan and Uzbekneftegaz JSC arranged a press tour for foreign and domestic mass media so as to provide insights about operations of Shurtan Gas Chemical Complex, as well as a new plant for production of synthetic liquid fuel from natural gas - “Oltin Yo'l Gas to Liquids” (GTL), which is currently under construction.
Journalists were able to see the process of the facility construction, acquaint themselves with process equipment delivered to GTL facility, and with the Gas Chemical Complex located in the south-western part of Uzbekistan, in the desert zone of the Karshi steppe, based on Shurtan gas condensate fields.
The Gas Chemical Complex is located in the south-western part of Uzbekistan, in the desert zone of the Karshi steppe, and is based on Shurtan Gas Condensate Fields.
The history of the Complex dates back to 1996, when the Cabinet of Ministers of the Republic of Uzbekistan issued a decree, according to which it was decided to construct Shurtan Gas Chemical Complex for polyethylene production. The Complex has become one of the best projects implemented by Uzbekneftegaz in the years of independence, and completed in record-breaking time. In August 2002, upon completion of commissioning, the first “Uzbek” polyethylene with UzClear® trademark was produced.
The Plant area includes gas and condensate treatment unit, compressor stations, process units and many other auxiliary facilities. The Plant’s key production processes are polyethylene production workshop and ethylene production workshop.
In terms of production capacity of the Plant, the annual indicators are as follows:
- feed gas: up to 3.9 BCM;
- commercial methane: up to 3.5 BCM;
- polyethylene granules: more than 125 thousand tons;
- liquefied gas: more than 100 thousand tons;
- gas condensate: about 1.5 thousand tons;
- granulated sulfur: about 1.5 thousand;
- aluminum composite panels: more than 750 thousand square meters; and
- pipes, hoses and fittings for pressure pipelines and drip irrigation system: more than 4.5 thousand tons.
Implementation of the project “Production of synthetic liquid fuel based on purified methane of Shurtan Gas Chemical Complex” (UzGTL) commenced in 2016, thanks to active and successful operations, being carried over during many years, and availability of qualified personnel and infrastructure. The project is being implemented in accordance with the Decree of the President of the Republic of Uzbekistan dated December 29, 2016 No. PP-2706 “On additional measures for implementation of investment project “Production of synthetic liquid fuel based on purified methane of Shurtan GCC”.
According to the project objectives, the project should:
- expand capacities for deep processing of natural gas;
- reduce import of hydrocarbons;
- cover domestic demand in high-quality and environmentally friendly fuel;
- provide the market with strategic products made of domestic raw materials.
The Plant for production of synthetic liquid fuel from natural gas is called “Oltin Yo'l Gas to Liquids” (GTL) and being constructed 1.5 km away from Shurtan Gas Chemical Complex. This Plant will be one of the largest plants producing synthetic liquid fuels, and one of the largest and most technologically advanced projects in the history of oil and gas industry in the region.
To date, Oltin Yo'l GTL with a total cost of US$ 3.6 billion is one of the most capital-intensive investment projects, being implemented in Uzbekistan. It is being financed by Uzbekneftegaz JSC, Uzbekistan Fund for Reconstruction and Development, China Development Bank, Export-import Bank of Korea, Korea Trade Insurance Corporation, Gazprombank JSC, Roseximbank JSC and Russian Agency for Export Credit and Investment Insurance.
The Plant will have annual production capacity of more than 1.5 million tons of high-quality synthetic liquid fuel, meeting Euro 5 standard, including 743.5 thousand tons of diesel, 311 thousand tons of aviation kerosene, more than 431 thousand tons of naphtha and more than 50 thousand tons of liquefied gas.
The technology process of the GTL Plant is based on three main stages, which are required for conversion of purified methane into GTL products, including diesel, kerosene, naphtha and LPG.
As of today, more than 6.5 thousand workers have been mobilized to the Construction Site: builders, engineers and specialists, of whom more than 500 specialists are foreigners. There are more than 450 units of heavy and special construction equipment being utilized.
A unique special equipment is being used in construction of the facility, including the world's most extra-power cranes, with a height of a 25-storey building, having the longest telescopic arrows, with the length exceeding 100 meters and lifting capacity of up to 1500 tons. There are only a few such cranes in the world and they are used on a pre-agreed schedule.
All possible international logistics routes are largely involved in delivery of high-volume and process equipment, units and devices to Uzbekistan.
OGU 2019 Race
A race, dedicated to the opening of the 23-rd International Exhibition and Conference "Oil and Gas of Uzbekistan" (OGU-2019), was held on the territory of NEC “Uzexpocenter”, on May 15, 2019.
This event has been considered as another stage in the ongoing youth policy and was dedicated to promoting a healthy lifestyle.
UZBEKISTAN GTL LLC employees also took an active part in the event, where all team members have showed themselves in the most decent manner, and gained good results in the race.
MAIN TECHNOLOGICAL EQUIPMENT DELIVERING TO UZBEKISTAN FOR GTL PLANT
On February 21, the President of the Republic of Uzbekistan Shavkat Mirziyoyev held a meeting on the analysis of effectiveness of ongoing reforms in the oil and gas and chemical industries, issues of systemic development of these industries.
Consistent activity is being implemented in the country on integrated development of the fuel and energy sector and diversification of energy sources, the GTL project is an example of these.
These days, two units of the main large-size technological equipment with a weight of 350 and 550 tons are on the way of the territory of Uzbekistan. It will be delivered to the construction site of a plant for the production of synthetic liquid fuel (GTL project) in Kashkadarya region in March. The purpose of the new plant is the in-depth processing of natural gas, with the production of kerosene, diesel fuel, naphtha and liquefied gas.
This investment project is being implemented in accordance with the decree of the President of the Republic of Uzbekistan " Production of synthetic liquid fuels on the basis of the Shurtan Gas Chemical Complex at the methane purification base" (No. PP-2706 of December 29, 2016). Currently, the main large-size technological equipment is on its way from Karakalpakstan to Kashkadarya region. Prior to this, through several countries, several thousand kilometers have been crossed through major sea routes and logistic routes of the Republic of Korea to Uzbekistan.
These units – weighing 550 tons, 39 meters long and 6,9 meters in diameter, as well as weighing 350 tons and 25 meters long, will be used in the workshop of the plant for producing synthetic liquid. Thanks to these units, generated synthesis gas (methane + oxygen) will be converted into synthetic liquid fuel as a result of physic-chemical reactions and technological processes – the so-called semi-finished product from which, after a series of processes, the main oil products, such as diesel, kerosene and naphtha will be produced.
To date, the implementation of the project GTL entered the active phase. At the construction site mobilized more than 5000 workers, builders and engineers, involved more than 500 units of construction and special equipment.
Construction of the GTL plant in Uzbekistan continues at the active pace. Overall in the implementation of the contract exceeded 71%. Construction works are being continued at the site of the plant for the production of synthetic liquid fuel in the Kashkadarya region, which has been completed by more than 25%. In total, more than 11,000 units of technological equipment are manufactured for more than 129 plants in 24 countries of the world for the GTL plant under construction in Uzbekistan. Currently, delivery of high-tech and large-sized equipment to the construction site is carried out.
More than 116 sets of high-tech equipment were delivered to the construction site, their installations have already begun. 153 sets have already been directed to the construction site by manufacturers and are on their way to Uzbekistan.
Implementation of the GTL project will provide an opportunity to ensure the annual import substitution of petroleum products in the amount of up to 1,5 million tons.
The raw material base for the plant producing synthetic liquid fuel is the purified gas of the Shurtan Gas Chemical Complex, its volume consists of 3,6 billion cubic meters per year.
It should be noted that the GTL project implementation will provide an opportunity to ensure the annual import substitution of petroleum products in the amount of up to 1.5 million tons. The raw material base of the plant for the production of synthetic fuel - Shurtan Gas Chemical Complex is a methane with an annual capacity of 3.6 billion cubic meters.
Annual production of the plant will be more than 1,5 million tons of high-quality synthetic liquid fuel that complies with the Euro-5 standard, including 743,5 thousand tons of diesel fuel, 311 thousand tons of aviation kerosene, more than 431 thousand tons of naphtha, more than 50 thousand tons of liquefied gas.
The press service of the Ministry of Energy of the Republic
UZBEKISTAN ASSIGNED ‘BB-’ LONG-TERM AND ‘B’ SHORT-TERM RATINGS; OUTLOOK STABLE
On 21 December 2018, S&P Global Ratings assigned its ‘BB-/B’ long- and short-term foreign and local currency sovereign credit ratings to Uzbekistan. The outlook is stable. The transfer and convertibility (T&C) assessment is ‘BB-’
The stable outlook reflects the agency’s expectation that, over the next year, Uzbekistan’s fiscal and external net asset positions will remain strong, albeit decline slightly, due to expected future current account deficits and government borrowing. “We could raise the ratings if monetary policy effectiveness were to improve, for example through a decline in dollarization of the economy. Further diversification of the government’s revenue base or the composition of the economy’s exports would also be supportive of the ratings,” the agency said. “We could lower the ratings if the fiscal or external positions deteriorated, for example if fiscal deficits increased beyond our base-case scenario or if higher-than-expected current account deficits led to an increase in external financing needs. We could also lower the ratings if we observed increasing weakness in key state-owned enterprises (SOEs), leading to growing contingent liabilities for the government,” S&P Global Ratings said. “Our ratings on Uzbekistan are supported by the government’s strong fiscal and external positions. These strengths predominately arise from the government’s large asset position, which stems partly from the policy of transferring part of the revenues from commodity sales to the Uzbekistan Fund for Reconstruction and Development (UFRD),” the statement of S&P Global Ratings said. “Our ratings are constrained by Uzbekistan’s low economic wealth, as measured by GDP per capita. In our view, future policy responses may be difficult to predict, given the highly centralized decision-making process and that accountability and checks and balances between institutions are relatively underdeveloped. Our ratings are also constrained by low monetary policy flexibility,” the agency noted. S&P Global Ratings said institutional And Economic Profile: Reforms have begun to open up the economy but challenges remain Broad-based policy reforms have improved institutions, albeit from a low base, and opened up the economy. “We expect decision-making to remain centralized. GDP per capita remains low, at an estimated $1,200 in 2018. We expect real GDP growth to remain relatively strong, averaging 5% over our forecast period to 2021,” the agency said.