Azerbaijan's State Oil Company preparing for exploration drilling in Uzbekistan together with partners - Uzbek Energy Ministry
TASHKENT. Sept 8 (Interfax) - The Managing Committee for the Ustyurt Agreement has summed up the results of 3D seismic exploration at six investment blocks in Uzbekistan and discussed preparations for drilling an exploration well, the Uzbek Energy Ministry said.
"On September 7, a meeting of the Managing Committee was held in Tashkent as part of the production sharing agreement for investment blocks in the Ustyurt region of the Republic of Karakalpakstan with the participation of representatives of the Uzbek Energy Ministry, JSC Uzbekneftegaz, relevant ministries and agencies and Azerbaijan's SOCAR [the State Oil Company of the Azerbaijani Republic] and the international company BP," the ministry said.
The meeting discussed the results of work carried out under the agreement in 2025 and H1 2026, as well as subsequent stages of geological exploration.
"In particular, the meeting reported on the completion of 3D seismic exploration field work on the investment blocks Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq and Qulboy. The data obtained will become an important basis for the further in-depth study of promising oil and gas locations in the Ustyurt region. Processing and geological analysis of seismic data, as well as preparation for drilling an exploration well, are planned at the next stage of the project," the ministry said.
Following the meeting, the parties confirmed their readiness to continue the joint implementation of the project aimed at studying and effectively using the hydrocarbon potential of the Ustyurt region.
As reported, the Uzbek Energy Ministry, SOCAR, and Uzbekneftegaz signed a production-sharing agreement for geological exploration and subsequent hydrocarbon extraction in six investment blocks of the Ustyurt oil and gas region namely Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq and Qulboy. According to forecasts, a field with oil reserves of 100 million tonnes and natural gas of 35 billion cubic meters could be found at the Ustyurt blocks.
In accordance with PSA, there are plans to conduct 3D seismic exploration on at least 1,000 sq. km and, based on the results, launch geological exploration work on one well. If hydrocarbon deposits of industrial significance are discovered, then the parties will launch development and subsequent production.
Overall investments in the project are estimated at $2 billion.
BP said on May 13 that it had joined the PSA for the six Ustyurt blocks, acquiring a total 40% participating interest in the PSA - 20% from each of the existing partners SOCAR and Uzbekneftegaz, which previously held 50% each.
