Tashkent, Uzbekistan (UzDaily.com) -- 15 years ago, cooperation was launched between the Republic of Uzbekistan and the Russian oil company LUKOIL by signing production sharing agreements (PSA) at fields in Kashkadarya and Bukhara regions, the development of which required significant financial investments.

Deposits were discovered back in Soviet times, but no one undertook to develop them due to complexity and high costs. Today, LUKOIL has already invested US$8 billion in the PSA implementation, becoming the largest foreign investor in Uzbekistan.

It should be noted that LUKOIL Uzbekistan Operating Company, created in conjunction with Uzbekneftegaz JSC, is only a project operator that conducts development and construction of wells, production, refining and processing of natural gas to marketability. The entire volume of gas produced by LUKOIL on Uzbek soil is transferred to the Republic of Uzbekistan.

As you know, gas from underground is extracted with various impurities, causing difficulties in transportation or use. So, water vapor contained in a gas, under certain conditions, can form hydrates or, when condensed, accumulate in pipelines, interfering with the gas flow, toxic hydrogen sulfide causes severe corrosion of gas equipment and is dangerous to human life.

In addition to preparing the gas itself, it is necessary to create the entire infrastructure and pipeline network. Thus, the extraction, refining and processing of natural gas to “blue fuel” is a complex, expensive and high-tech process. The final product, processed by LUKOIL, meets the highest standards and is in demand in international markets.

The total income of the Republic of Uzbekistan from the sale of gas produced by LUKOIL made up more than US$4 billion.

In addition, LUKOIL is one of the largest taxpayers in the country and pays taxes on profits, taxes on the use of subsoil and other obligatory payments to the state treasury. The total amount of LUKOIL tax deductions for the entire period of activity in Uzbekistan is 10.2 trillion soums.

Thanks to mutually beneficial cooperation between the Republic and LUKOIL, the efficiency of production and use of hydrocarbon resources in Uzbekistan has increased - gas is extracted and processed in hard-to-reach areas. In the desert, a unique Kandym gas processing complex with a capacity of more than 8 billion cubic meters with modern engineering and transport infrastructure was erected.

Performing production tasks, LUKOIL also contributes to the solution of social issues: the infrastructure of the regions of production activity is developing, roads and social facilities are being built, jobs are being created. Thus, more than 3,000 of our compatriots who have decent working and housing conditions in shift camps are employed at LUKOIL's facilities. For his contribution to the development of human capital, the high efficiency of the personnel system, LUKOIL-Uzbekistan has repeatedly been awarded high awards - “The Best Employer of Uzbekistan” and “The Most Desired Employer of the Country”.