Air Products signed an investment agreement with the Government of the Republic of Uzbekistan and Uzbekneftegaz JSC ("UNG”) to acquire, own and operate a natural gas-to-syngas processing facility in Qashqadaryo Province, Uzbekistan for US$1 billion. The natural gas-to-syngas industrial complex is an integral part of state-owned energy company UNG's multi-billion gas-to-liquid (GTL) facility―one of the most technologically advanced energy production plants in the world―producing 1.5 million tonnes per year of high value-add synthetic fuels for domestic use and potential export.
Under the purchase agreement, Air Products will acquire, own and operate two large-scale air separation units, two large-scale auto-thermal reforming units, and a hydrogen production unit within the Uzbekistan GTL complex and supply oxygen, nitrogen, hydrogen and syngas under a long-term, take-or-pay/fixed fee contract to UNG. UNG will supply the feedstock natural gas and utilities, and offtake all products.
The project is fully aligned with Air Products’ core industrial gas business and competencies. It will enable UNG to focus on producing low-cost, high-purity fuels and the Republic of Uzbekistan to meet its growing energy production and societal needs.
Uzbekistan Gas-to-Liquid (GTL) Facility
Air Products' US$1 billion agreement to acquire, own and operate industrial gas complex at Uzbekneftegaz JSC’s advanced GTL facility
About the opportunity
1B
Air Products investment in USD
5
gas-to-liquid plants worldwide, including Uzbekistan
3.6
billion cubic meters per year of natural gas can be processed by the GTL plant
about uzbekistan
36 million
Population
80B
GDP
#1
Most populous country in Central Asia with highest literacy rates
Abundant and diversified natural resources (gas, gold, copper, etc.)
Low level of debt and comfortable foreign exchange reserves
Ambitious public investment program
Uzbekistan GTL Process
Seifi Ghasemi, Air Products Chairman, President and Chief Executive Officer
"Uzbekistan is a high-growth environment underpinned by strong government support. We are proud to be deploying Air Products' knowledge, experience and technology here and other nations around the world to help access and maximize their abundant energy sources more sustainably.”
Ivo Bols, Air Products President, Europe and Africa
"This is an exciting agreement for our European region and team, which is fully aligned with Air Products' core business strategy. We will continue to explore additional opportunities in Uzbekistan.”
Sidikov Bakhodirjon Bakhromovich, Chairman of the Board of Uzbekneftegaz JSC
“Cooperation between the Uzbekistan GTL plant and Air Products is of great importance as it represents a partnership that promises to unleash the enormous potential of the energy sector of the Republic of Uzbekistan. We are optimistic about the benefits that this cooperation will bring both to the company and to our Republic as a whole."