Rustam Israilov, deputy chairman of Uzstroymaterially, said at the conference “Cement industry and market” that the sides are working on the project and the sides are developing feasibility study. It is planned to start construction in the second half of 2010.

Israilov said the plant will be located in Karakalpakstan and produce 1 million tonnes of cement a year. The plant will build oil-well cement for oil and gas industry and Portland cement.

He added that the sides did not decide on the form of partnership. The project will be financed due to resources of Oman Investment Fund, Uzstroymaterially and Uzbekneftegaz.

Currently, Uzbekistan has six cement plants with total capacity of 6.5 million tonnes a year. The country is constructing three more plants with the capacity of 2.36 million tonnes a year. The plants will be commissioned by the end of 2011.