Uzbekistan - Country Commercial Guide
Oil and Gas

This is a best prospect industry sector for this country.  Includes a market overview and trade data.

Last published date: 2020-10-14

Overview

Mining, quarrying, and oil and gas are the leading industries of Uzbekistan’s economy, despite the sector’s ever more pressing need for further development.  The country’s hydrocarbon reserves are significant; according to local industry officials, total primary energy reserves (proved and projected) amount to 5.5 billion tons of oil equivalent (toe), including 1.5-1.6 billion toe of natural gas, 245 million toe of oil and up to 3.3 billion toe of coal.  The industries contribute about 12% to the GDP of the country, over 15% to the state budget earnings, 14% of export earnings, and employing nearly 180 thousand people.  Uzbekistan is the second largest natural gas producer in Central Asia.  Accordingly, energy issues remain a high priority in President Mirziyoyev’s agenda.  Despite a breakthrough in improving energy cooperation with regional neighbors, interrupted and insufficient electricity and gas supplies remain an issue.  In 2019, the government broke up the national monopoly UzbekNefteGaz into three independent companies focused on production (UzbekNefteGaz), transmission (UzTransGaz), and domestic sales (HududGazTaminot), with the goal of improving transparency and operating on market-based price standards.  The government also announced plans to halt natural gas exports by 2025 and process all domestic output into higher value-added products. 

 

2017

2018

2019

2020 estimated

Total Local Production

5,830

6,350

7,200

N/A

Cannot be estimated because of a sharp fall in global demand.

Total Exports

1,920

2,666

2,525

N/A

Total Imports

742

880

928

N/A

Imports from the US

12

17

14

N/A

Total Market Size*

4,652

4,564

5,603

N/A

Exchange Rates**

5,121

8,069

8,839

10,200

*Total market size = (total local production + imports) – exports
** Exchange Rates = Uzbek soums per $1. On September 5, 2017 national currency soum was devalued from 4,210.35 soums per $1 to 8,100 soums per $1.
Units: $ millions
Source: The State Statistics committee of Uzbekistan. Imports from the U.S.  data is from the U.S.  census bureau. 

Leading Sub-Sectors

  • Oil and Gas Extraction
  • Support Activities for Mining.

Opportunities
U.S. oil and gas companies may bid on contracts to supply services to the country.  Specific fields include consulting, engineering, construction, equipment supply, and management.  The government presently has an increased interest in licensing technologies for oil refining and gas extraction, treatment and processing.  All public sector tenders and technical requirements, specifications, documents, and procedural explanations are available on the website of UzbekNefteGaz and UzTransGaz

     For specific opportunities, businesses should review tenders on the company websites, www.tenderweek.com, or contact potential partners by phone or e-mail. In general, opportunities exist in fossil fuel field development and exploration; oil and gas-bearing structure analysis; seismic surveys and deep drilling; and construction, expansion and modernization of production facilities.

Web Resources

U.S. companies and individuals interested in learning more about the oil and gas sector, upcoming procurements, and export opportunities are encouraged to visit the following websites: