During the 15th international exhibition Oil and Gas Uzbekistan – OGU-2011, Uzbekistan GLT deputy director James Won said that the project participants will adopt decision on project continuation in the third quarter of 2011.

James Won added that currently the project is at feasibility study development stage and the sides are determining project budget and financing sources.

Uzbekneftegaz national holding company, Petronas International Corporation LTD and Sasol Synfuels International (PTY) Limited signed charter and constituent agreement of joint venture Uzbekistan GTL in November 2009. The preliminary cost of the project makes up US$2.5 billion.

France’s Technip is preparing feasibility study of the project on construction of the plant on production of synthetic fuel. Technip signed a contract on developing feasibility study with Uzbekistan GTL JV, which is operator of the plant, in March 2010.

The venture was created in parity terms (33.3%) with preliminary charter capital of US$30 million. Later, the size of the authorized capital will reach US$840 million.

In line with preliminary feasibility study, the plant will process 3.5 billion cubic meters of gas and produce 672,000 tonnes of diesel fuel, 278,000 tonnes of aviation kerosene, 361,000 tonnes of naphtha and 63,000 tonnes of liquefied gas. However, Uzbekneftegaz said that designed capacity of the plant will be increased up to 1.468 million tonnes a year

The project will be financed due to own resources of the venture’s founders, consortium of banks and financial institutions, which issue loans on project financing terms.