Afghanistan issues license to Uzbek companies for geological exploration, production of hydrocarbons - Uzbek Energy Ministry
TASHKENT. Oct 6 (Interfax) - Uzbek companies have received the right to produce hydrocarbons in Afghanistan, Uzbek Energy Minister Jurabek Mirzamakhmudov said.
"The Afghan authorities have issued a license to our companies for conducting geological exploration and production of hydrocarbons on their territory," Mirzamakhmudov was quoted as saying by Uzbek media.
In mid-September, work began on the development of the Toti-Maydan gas field, Mirzamakhmudov said.
The contract for the project's implementation for a period of 25 years was signed by the Uzbek company Eriell KAM.
"This will be the first stage. Of course, depending on its results, an expansion of work, joint work on new sites is envisaged. The project is being implemented as an initiative that will benefit the economies of Uzbekistan and Afghanistan," he said.
According to the Afghan Geology Ministry, the Toti-Maydan gas field in the Jowzjan province covers an area of 7,500 square km, on which about 30 wells are currently located.
It is assumed that Uzbekistan will invest around $100 million per year in the project over ten years and will also process the extracted gas.
Earlier in August, it was reported that Uzbek and Afghan energy companies had signed agreements on implementing four major energy projects following negotiations in Kabul.
In particular, the first agreement provides for the construction of the 500 kV Surkhan - Pul-i-Khumri power transmission line with a length of 200.6 km (from southern Uzbekistan to Afghanistan) and the expansion of the Khoja-Alvan substation. The parties also reached agreements on the participation of Uzbek energy companies in the implementation of three more projects in Afghanistan. These include the expansion of the Argandab substation, the construction of the Sheikh Misri substation (Nangarhar) and a new power transmission line from the Butkhak substation (Kabul) to the Sheikh Misri substation.
