Tethys oil company acquires new oil field in Uzbekistan

Azerbaijan, Baku, May 16 / Trend E. Kosolapova/ Central Asian Oil and Gas Company Tethys Petroleum Limited acquired a new oil field in Uzbekistan, the company reported on Wednesday. "Chegara Production Limited, company's 100 percent owned subsidiary, has signed a Production Enhancement Contract for a new oil field, the Chegara Group of Fields in Uzbekistan," the company said. Moreover, Tethys had signed a Memorandum of Understanding with Uzbek National company Uzbekneftegaz, which agrees a timetable for the potential signing of an Exploration Agreement for a highly prospective Exploration block. The contract will become effective following standard regulatory approvals, which include the issuance of a Presidential Decree and the completion of a Feasibility Study. The contract has a term of twenty-five years and under this contract Chegara Production Limited is allocated refined products for the crude oil it produces and sells these outside Uzbekistan. Furthermore Tethys has been granted exclusive rights to carry out operations with liquid hydrocarbons on Chegara. The Memorandum of Understanding signed with the Uzbekneftegaz sets out a fixed timetable to potentially sign an Exploration Agreement for a large Exploration block in the North Usyturt basin in Uzbekistan. Tethys will submit a proposal for an exploration program for the block by the end of June 2012. After approval by Uzbekneftegaz and the Uzbek Government an Exploration Agreement will be negotiated. Tethys Petroleum Limited is an oil and gas exploration and production company currently focused on Central Asia with projects in oil-rich Kazakhstan, Tajikistan and Uzbekistan. It is the only independent oil and gas company operating in all three countries. Do you have any feedback? Contact our journalist at agency@trend.az