South Korea Signs $4.1 Billion Natural Gas Field Development Contract

According to the Korea Central Daily News, on August 23, South Korea and Uzbekistan signed four agreements on the development of the Sur Gill field and the construction of complete sets of natural gas chemical equipment. The agreement is a large-scale project (Surgill project) with a scale of 4.1 billion US dollars (4,500 billion won). This is a five-year, five-month agreement signed in March 2006 between the Korean Natural Gas Company and Uzbekistan's state-owned natural gas company (UNG).

On the same day, Uzkor, a coalition of South Korean companies, signed an agreement with Uzbekistan Gas (UNG) on gas field development and pipeline construction. Three companies, including Samsung Engineering Co., Ltd., GS Construction, and Hyundai Engineering Co., Ltd., also signed three agreements on ethylene chemical plants, chemical plants and ethane decomposition equipment, and chemical incidental equipment.

It is reported that the Sur Gil gas field is located near Aral in Uzbekistan, with a natural gas reserves of 130 billion cubic meters (corresponding to 96 million tons of liquefied natural gas and 830 million barrels of crude oil).