Uzbekneftegaz and BP plan to launch drilling in Ustyurt region by year-end

Abdugani Sanginov, Chairman of the Board of Uzbekneftegaz, met with Michael Fidler, Business Development Director of the British energy giant BP, to discuss the current progress and future prospects of projects under their production sharing agreement (PSA) for the Ustyurt region. The discussions focused heavily on geological exploration, accelerating the processing of geophysical data, and finalizing plans to begin well drilling before the end of 2026. Both parties emphasized the strategic importance of the venture and expressed readiness to expand their cooperation further.

This updated timeline represents a notable shift. The head of Uzbekneftegaz had previously proposed that BP accelerate the project to begin drilling by the end of 2027. The latest negotiations indicate that the operational launch has been successfully advanced to 2026. BP officially joined oil and gas extraction efforts in the Ustyurt region in mid–May, securing a 40% stake in the production sharing agreement, while Uzbekistan’s Uzbekneftegaz and Azerbaijan’s SOCAR each hold a 30% share.

Alongside the BP talks, the Uzbekneftegaz leadership met with Eduardo Menezes, CEO of the American company Air Products. The parties reviewed the execution of earlier agreements signed on May 1, focusing on current project timelines and operational efficiency.

The meeting with Air Products also covered financial models, supplementary agreements, technical troubleshooting, and the reliable supply of spare parts required for the ongoing operations of the Uzbekistan GTL plant. Following the talks, both companies agreed to deepen their partnership and enhance the performance of their joint initiatives.