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Uzbekistan Location to Bolster Russian Gasoline Imports with $500 Million Funding


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By Eurasianet – Feb 23, 2024, 2:00 PM CST

  • Uzbekistan plans to take a position $500 million in expanding its natural gas transportation gadget to amplify imports from Russia, aiming to address a shortage of gas reserves and meet rising domestic ask.
  • The country, once a get exporter, has develop into a get importer attributable to stagnating extraction rates and rising domestic consumption, main to a reversal in its gas change balance.
  • Uzbekistan’s reliance on gas imports underscores the want for modernization of its vitality industry and highlights the challenges of managing its gas reserves amid rising ask and depletion of developed fields.

The manager of Uzbekistan plans to take a position $500 million on expanding skill in its natural gas transportation gadget to enable a essential amplify in imports from Russia, in response to reporting by news internet predicament

Uzbekistan, whose catch gas reserves haven’t been ample to meet every year surging ask, started receiving affords of the gasoline from Russia in October. Below a two-year take care of Gazprom, Uzbekistan imports 9 million cubic meters of gas daily. reported on February 20, citing a executive decree published earlier this month, that investment plans protecting the period from 2024 to 2030 are intended to improve efforts to seize gas imports to 32 million cubic meters per day. Funding for this effort will be sourced from foreign lenders, the outlet reported.

Uzbekistan’s reliance on shopping gas from in one other country has made it a get importer – a stark reversal on its place most effective two years within the past. In greenback terms, it imported gas valued at $700 million in 2023, while it purchased $530 million price of the gasoline within the identical period. In 2022, exports exceeded imports by $629 million.

China is Uzbekistan’s main buyer. Kyrgyzstan buys exiguous portions of gas from Tashkent, however even the regularity of those deliveries is removed from definite. Kyrgyz Agriculture Minister Bakyt Torobayev had to repeat parliament on February 1 that the southern metropolis of Osh modified into tormented by a shortage of gas in consequence of Uzbekistan slashing its deliveries tenfold. 

Per Gazprom, which controls Kyrgyzstan’s gas infrastructure, the decrease within the shipping of gasoline modified into attributable to dwindling reserves at Uzbek fields and a upward thrust in domestic consumption in Uzbekistan following a cold snap.

Uzbek officers maintain stated within the past that they blueprint to hand over exports of gas altogether by 2025.

This predicament is cited by some analysts as a testament to the manager’s failure to modernize its vitality industry in merely time. Uzbekistan’s vitality riches will deserve to maintain place it in a high place to meet the wants of a with out note rising inhabitants.

The Uzbek Energy Ministry estimates that the country has proven gas reserves of around 1.86 trillion cubic meters. Nonetheless extraction rates were flatlining and even declining all over the final decade, while domestic ask has grown. The Forty eight.9 billion cubic meters of gas produced in 2022 marked a 4 percent decrease on the outdated year. Remaining year saw one other drop in output, to 46.7 billion cubic meters. 

Some of Uzbekistan’s developed gas fields are, within the period in-between, edging in the direction of almost total depletion.

Energy Minister Zhurabek Mirzamakhmudov suggested final April that “varied components, along side man-made ones,” were in fee for the slowdown in output. He acknowledged divulge-owned Uzbeknetfegaz, which manages half of the country’s confirmed gas reserves, as a riding supply of the production hotfoot. Totally “75-80 percent of the firm’s fields maintain already been depleted,” he stated.


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