Uzbekneftegaz NHC and General Company for Prospecting and Production of Oil and Gas of Vietnam (Petrovietnam) signed an agreement on geological exploration works on Molabaur investment block of Ustyurt area of Uzbekistan.

The Vietnamese side plans to invest $61.58 million in exploration on this block within 5 years. Kossor Operating Company, the Petrovietnam operator in Uzbekistan, will deal with the organization of all types of exploration works under the agreements.

As part of the agreement, the resident organizations of Uzbekistan, engaged in supply of materials, rendering works and services to Kossor Operating Company, are exempt from value added tax at the appropriate volumes of materials and services.

Earlier, Petrovietnam and Uzbekneftegaz inked an agreement on exploration works in the Kossor investment block in Ustyurt area. The total investment for the exploration work will make up about $30 million. It is projected to accomplish exploration in 2014.

Besides, late last year, Uzneftegazstroyinvest JSC and Petrovietnam Engineering Company signed a Memorandum of Understanding. The document aims at the development of partnerships between the companies in implementation of engineering projects. In addition, the Institute of Geology and Prospecting of Oil and Gas Fields of Uzbekistan and Vietnam Oil and Gas Institute signed a Memorandum of Understanding aimed at cooperation in the oil and gas industry, joint research, exchange of experience, technology and information. Source: “Uzbekistan Today” newspaper)