Tashkent, Uzbekistan (UzDaily.com) - Ferghana Oil Refinery LLC is one of the largest enterprises in the Central Asian region for the processing of hydrocarbons and the production of oil products. To become a highly efficient and competitive company that takes a leading role in the oil and gas sector of the Republic of Uzbekistan is one of the most important goals of the enterprise.

On 7 February 2020, the following priority tasks were identified by a resolution of the Cabinet of Ministers: from 1 July 2023, to start production of AI-92 gasoline and diesel fuel that meet the environmental requirements of the Euro-5 class, as well as to modernize the oil block for the production of base and engine oils according to international standards.

In order to fulfill the assigned tasks, the Ferghana Oil Refinery, which passed into trust management of Jizzakh Petroleum LLC on 7 March, began the reconstruction of existing and construction of new production facilities, according to the approved modernization project, the total budget of which is estimated at US$300 million.

In 2020, as part of a program for deep modernization of production, a promising scheme for processing crude oil was developed, including the construction of 4 new facilities. The implementation of this program will increase the depth of processing of hydrocarbon raw materials and switch to the production of 100% motor fuels of Euro 5 quality from 2023, as well as lubricants that meet the requirements of the most modern international API standards.

By the end of this year, the volume of development of design documentation for licensed installations and a basic design within the framework of contracts concluded with Axens and Amec Foster Wheeler - WOOD has already reached 90%. Marketing research of the lubricants market was carried out jointly with Argus Media. Completed work on the development of a Feasibility Study of the investment project for the purpose of expert examination and approval in the authorized bodies of the Republic of Uzbekistan. Also, a draft statement on the impact on the environment was developed and a positive conclusion was received following an examination by the State Committee for Ecology.

Along with the implementation of promising tasks, 2020 turned out to be a difficult year, including due to the restrictions introduced in the republic and in the world in general in connection with COVID 19, but successful and productive in fulfilling the plans of the current activities of the FNPZ.

Thus, within the framework of projects to improve the quality of the product line at the diesel hydrotreating unit, the catalyst was replaced with a modern brand produced by Axens in order to obtain environmentally friendly diesel fuels. In December 2020, commissioning and pilot testing of a new hydrotreating catalyst were completed at the unit, as a result of which its operational characteristics were confirmed and the first diesel fuel samples of ecological quality Euro 4, Euro 5 were obtained.

The company’s specialists have developed and are successfully implementing a program to reduce energy consumption, reduce fuel consumption for production processes and reduce irrecoverable losses of hydrocarbons.

At the end of 2020, despite the almost complete lack of supply of the planned amount of gas condensate (light hydrocarbon raw materials), the enterprise was able to efficiently load production facilities and produce oil products necessary for the national economy and economy of the republic. Thanks to the well-coordinated work of the company’s team, the refining of crude oil in absolute terms increased to the level of 900 thousand tons of oil compared to 878 thousand of crude oil in 2019. At the same time, even in the conditions of processing heavier crude oil, the refining depth indicator in 2020 remained at the level of last year’s values of 87%, and the total level of fuel consumed and irrecoverable losses decreased by 2.5% compared to last year’s figure.

Simultaneously with the increase in production indicators, the enterprise under the management of Jizzakh Petroleum has completely switched to a market economy since March 2020. The realities of pricing in the open market in the context of a pandemic forced a radical revision of the approach both to providing the enterprise with oil raw materials and to the sale of the resulting line of oil products, while maintaining the economic efficiency of the enterprise. 

It is worth noting that, given the complete absence of state subsidies and state support in the field of financing, the team of the Ferghana Oil Refinery successfully coped with the tasks and contributed to the development of the economy of the Republic. At the end of 2020, 451,921 million taxes were transferred to the budget of the Republic.

Simultaneously with the solution of production and financial problems, it is necessary to note the achievements in the field of IT technologies and automation, inextricably linked with the development of the enterprise. So this year, the plant introduced and is undergoing pilot operation a project to modernize security systems and introduce an access control system (ACS). In addition, IP telephony was installed for the plant employees. This is a new technology for organizing telephone communication, which provides reliable communication, easy scalability, because an unlimited number of subscribers can be connected to it, which also increases the efficiency of the plant’s employees. Means of video conferencing, in the context of the coronavirus pandemic, make it possible to hold video meetings with colleagues and negotiations with partners from other regions of the world.

In December 2020, the plant launched a project to automate business processes, this is the introduction of an integrated information system based on digital technologies to increase the efficiency and transparency of production and economic activities.

Taking into account the specifics of the company’s activities, one of the priorities of the team is to constantly improve the qualifications of employees and attract young specialists. This year the plant has made good progress in the work of training workers.

So, in order to increase labor productivity for the implementation and overfulfillment of work plans, improve the quality of manufactured products, as well as use incentive measures to stimulate employees of Ferghana Oil Refinery LLC, the start of the competition-competition "Best in Profession" among employees was launched.

In order to carry out public control and monitoring of the measures taken to ensure the openness of the plant’s activities, to play the role of a liaison between the FNPZ and citizens, the Public Council at Ferghana Oil Refinery LLC was created and began its activities, the composition of which was formed from among labor veterans who served at Ferghana Oil Refinery LLC in managerial positions.

In 2021, the team of the Ferghana Refinery faces complex and ambitious tasks. Work on the modernization of production and improvement of the operational activities of the enterprise continues. Next year, the company plans to start manufacturing and supplying equipment and materials for the construction of new and reconstruction of existing installations with the involvement of the General Contractor, as well as to ensure the production of an assortment of improved quality lubricants based on Group I base oils, etc. In addition to tasks for the development of the enterprise, FNPZ will have to increase the volume of commodity production, bring new environmentally friendly high-quality products to the market, work even more in the field of reducing fuel consumption and reducing irrecoverable losses, optimize the cost of materials and energy resources, complete work on digitalization and automation of business processes and continue work on production automation , improve the living and working conditions of our employees and ensure their social security. All these tasks are possible and achievable only thanks to well-coordinated, efficient and conscientious work of the entire team of the enterprise.