Uzbekistan to sell Fergana refinery to Indonesian company

11 April 2019 18:49 (UTC+04:00)

By Abdul Kerimkhanov

The Fergana Oil Refinery will be transferred to the Indonesian RT Trans Asia Resources, Podrobno.uz reports citing data from the Ministry of Justice.

The transfer of the plant to Indonesians is stipulated by a presidential decree (No. PP-4275 of April 10, 2019) "On measures to modernize the Fergana oil refinery with the attraction of foreign direct investment".

In accordance with the document, 100 percent of the share of Uznefteprodukt in the authorized capital of the Fergana refinery is transferred to the State Assets Management Agency.

Then the plant will be modernized with the attraction of investments of the foreign company RT Trans Asia Resources. After the modernization of the plant and the full launch of all facilities, Indonesians will create a consortium of leading international companies for further operation of the plant.

In the future, the state share in the authorized capital of the plant will be sold to the company Trans Asia Resources under the terms of the government of Uzbekistan.

The Fergana Oil Refinery was commissioned in 1959 and today produces about 60 types of petroleum products. The design capacity of the processing plant is 5.5 million tons of oil per year. Fergana Oil Refinery - one of the leading enterprises for the production of fuel and lubricants in the region. Refining directions include 35 technological installations for the production of almost all the existing in the oil refining range of petroleum products.

Uzbekistan recognizes the strategic importance of Indonesia, the world's largest Muslim state and the largest economy in Southeast Asia. In turn, Indonesia considers Uzbekistan to be the gateway to Central Asia and a potential market.

Diplomatic relations between Uzbekistan and Indonesia were established on June 23, 1992.

According to the State Statistics Committee of Uzbekistan, the trade turnover for 2017 amounted to $ 35.6 million.

In order to develop a friendship, cooperation and cultural and educational relations between the two nations, the Uzbekistan-Indonesia Friendship Society was established in September 2002. In September 1997 between Samarkand and Banda Aceh signed the Protocol of intentions to establish sister city relations.

At the Samarkand Institute of Economics and Service since 2001, the Center for the Study of the Indonesian language has been operating.

In 2013, The Center for the Study of the Indonesian Language has been opened at the Tashkent State Institute of Oriental Studies.

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Abdul Kerimkhanov is AzerNews’ staff journalist, follow him on Twitter: @AbdulKerim94 

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