Kazakh Mazhilis ratifies framework energy agreement with Uzbekistan
ASTANA. Feb 20 (Interfax) - The Kazakh Mazhilis has approved the bill "On Ratification of the Framework Agreement between the Governments of the Republic of Kazakhstan and the Republic of Uzbekistan in Some Areas of Energy Cooperation " at a plenary meeting on Wednesday.
The framework agreement was signed in Tashkent on September 16, 2017, during an official visit of Kazakh President Nursultan Nazarbayev to Uzbekistan.
"Ratification of this agreement will promote the supply of crude oil to Uzbekistan for processing at local refineries and the uninterrupted supply of natural gas to southern Kazakhstan in fall and winter, as well as will foster mutual interest in developing the transit potential of Uzbekistan's gas transportation system and the exchange of practices in the field of oil, gas, and chemical projects," Kazakh Energy Minister Kanat Bozumbayev said while presenting the law to the Mazhilis on Wednesday.
In furtherance of the agreement, Kazakhstan is ready to keep supplying Kazakh oil to Uzbekistan by the Kenkiyak-Kumkol pipeline and by rail from the Shagyr station, the minister said.
The current fee on oil transportation by this route amounts to $25.12 per one ton.
It is also possible to transport Russian oil to Uzbekistan via Kazakhstan, Bozumbayev said.
Consistent with Article 13 of the agreement, KazTransGas and UzTransGas signed a contract for transporting Kazakh gas across Uzbekistan. Gas transit through the Gazli-Shymkent pipeline began in the pilot mode at a daily amount of 2 million cubic meters to 2.5 million cubic meters late last year. The amount of transported gas might eventually increase.
The agreement stipulates the establishment of a coordination council to address every aspect of bilateral energy cooperation.