Jizzakh Petroleum became one of majority investors of the project on construction of a chemical complex in Uzbekistan

2020: Construction plans of a chemical complex

On September 1, 2020 became izvestsno that according to the decision of the Cabinet of Uzbekistan the Jizzakh Petroleum company became one of majority investors of the project on construction of a chemical complex in Uzbekistan on the basis of MTO technology (methanol to olefins, "methanol-in-olefin") which start it was announced in May, 2019,

The plant is decided to be constructed in the Bukhara region of Uzbekistan where it will use domestic raw materials. It will allow to monetize natural gas due to production of the gas-chemical products focused on export with high value added.

Project completion will lead to further diversification of economy of Uzbekistan, development of the textile, chemical and parapharmaceutical industries, and to decrease in import volume to Uzbekistan.

The location of the plant was defined by availability of competitive raw materials and energy carriers, suitable infrastructure and proximity to the key markets in Europe and Asia. This project will strengthen a role of Uzbekistan as leader of power in the region.

The CEO of JV Jizzakh Petroleum LLC Mr. Fayzullayev Shokir told:

Despite the difficult moment, we are glad to announce the progress made in this ambitious project. We aim to play a key role in creation of carbon economy for Uzbekistan and region in general, supporting projects and solutions on the way to more net and safe future.

We aim to create the world-class chemical company making high-quality products for society, and this project completely corresponds to our vision. Our approach is not limited to the solution only of our direct production tasks, we consider all supply chain and the interests of all concerned parties. We hope for close and long-term cooperation with all our partners and consultants in implementation of this complex which will make a serious contribution to our economy and will serve for the benefit of the people Uzbekistan and Central Asia.

Work on the Project is conducted continuously, and, despite the problems connected with COVID-19 pandemic, the first preparatory stage is already completed. Technical partners and consultants, including IHS Markit, Nexant and Amec Foster Wheeler (Wood), completed the marketing analysis and a configuration research of the project. For the beginning of September, 2020 there passes the final stage of the choice of licensors, and after its end the next stage - development of the basic project (FEED) of the plant will begin.

According to the results of the selection research IHS Markit selected 18 end products from 47 derivative olefins for the next stage. Then the Nexant company completed detailed marketing research of 18 types of products from which will be included in planned production polyethylene of the low density (PENP), ethylene-vinyl-acetic ester (EVA), polyethyleneterephthalate (PET) and polypropylene (software). Results of marketing research became a basis for drawing up different options of a basic configuration of future plant. Amec Foster Wheeler (Wood) conducted a research of different configurations of the project and selected the most optimal variant for future gas-chemical complex. According to a configuration research, the estimated cost of construction will be 2.8 billion dollars.

It is expected that after completion of construction the plant on production of olefins with a power of 500.0 thousand tons per year, will process 1.5 billion cubic meters of natural gas a year and to produce the high-quality polymers used in many sectors of world economy.