Azernews.Az

Azerbaijan and Kyrgyzstan are discussing supply of Azerbaijani oil products to the Central Asian state, Kyrgyz Oil Traders' Association President Jumakadyr Akeneev said Wednesday.

Head of the Azerbaijani state energy firm Socar, Rovnag Abdullayev, who is currently in Bishkek, is holding talks on behalf of the Azerbaijani government on the supply of oil products to the Kyrgyz market.

"If we agree on the cost of fuel and lubricants, negotiations will be continued [to discuss] the supply scheme," Akeneev said. Earlier, the Kyrgyz side was not content with the price of oil products offered by Socar.

Akeneev said 300,000 tons per year of fuel and lubricants may be supplied from Azerbaijan. Although Kyrgyzstan has a contract with Russia, the country wants to diversify sources of fuel and supplies of lubricants, he said.

According to Akeneev, the two countries could either establish a joint venture or reach agreement on the direct supply of oil products to Kyrgyzstan.

Akeneev estimated the country's demand for fuel and lubricants at 1 million tons in 2012.

During a meeting with Kyrgyz Prime Minister Omurbek Babanov, Abdullayev said Azerbaijan is interested in the construction of an oil refinery in Kyrgyzstan.

In turn, Babanov said the Kyrgyz government will provide comprehensive support and assistance for Azerbaijan's successful investments in Kyrgyzstan's economy.

"We expect friendly Azerbaijan to invest not only in the oil industry, but also in other promising sectors of the country’s economy," he added.