Uzbekistan launched a new plant UNG ECONN for the production of composite domestic cylinders for liquefied gas, Uzbek media reported citing the press service of the Uzbekneftegaz company.
Neftegazinvest Ltd., which is a part of Uzbekneftegaz JSC, and South Korean Hyundai International Co. Ltd. acted as founders of the joint venture with equal shares.
The plant occupies three hectares on the territory of the Angren free economic zone in the Tashkent region.
The cost of the project as a whole amounted to about $5.3 million, of which $2.2 million accounted for the cost of construction and installation work, and $3.05 million for the cost of equipment.
At the first stage, 60,000 ECONN 20 composite cylinders for liquefied gas per year are planned to be produced. At the second stage, this indicator should grow at least twice. The level of localization of production should be up to 77 percent, and the payback period of the project should be two years.
"Cylinders are necessary both to meet the domestic needs of the population of Uzbekistan and to further develop the country’s export potential," the Uzbekneftegaz company said. "Analysts confirm that the CIS market needs more than 30 million composite cylinders. This is while up to 60 percent of the cylinders currently in service are obsolete."
The ECONN 20 composite cylinders are designed for use in gas stoves, gas burners, gas heaters, grill, gas heat guns, as well as for cooking. In addition, they are used for installation as a power source for a gas burner for roofing work. The service life of ECONN 20 is at least 10 years.
Composite cylinders are 60 percent lighter than metal ones and are not corroded. They are also environmentally safe products.
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