The President of Kyrgyzstan laid a capsule symbolizing modernization of the oil refinery in Jalal-Abad. Sadyr Japarov visited Kyrgyz Petroleum Company during his working trip to Jalal-Abad region.
History of the refinery
An agreement was signed between Kyrgyzneftegaz OJSC and PetroKyrgyzstan LLC (Jersey) to establish Kyrgyz Petroleum Company JV. The participants’ shares were distributed equally — 50 percent each.
The history of the oil refinery dates back to 1995, when, after signing an investment agreement with the government of Kyrgyzstan, a foreign investor allocated funds for the construction and development of the refinery. Construction began in January 1996 and was completed in September of the same year. However, despite the existing need, previous attempts to modernize the plant did not achieve their goals.
The head of state, speaking to those gathered, noted that the event was important for the country’s economy. The implementation of this project will not only ensure the energy security of Kyrgyzstan, but also achieve significant results that will contribute to the development of the oil refining industry.
As the president noted, after the completion of the modernization, the oil refinery will be able to meet 32 percent of Kyrgyzstan’s domestic needs for oil products, which will significantly reduce the country’s dependence on imports. The plant’s production capacity will increase significantly: the production of AI 92 and AI 95 gasoline will increase more than 12 times, and the production of diesel fuel will increase by 40 percent.
The project provides for investments in the amount of $410 million, of which 200 million are external investments, 110 million will be allocated by the Cabinet of Ministers, and 100 million will be allocated by Kyrgyzneftegaz OJSC.
Previously, as you know, we could not contribute even 100 million soms, not to mention $100 million. This money remained in private pockets. And now the time has come when the money is used for the benefit of the country.
Sadyr Japarov
The President instructed the management of Kyrgyzneftegaz OJSC and Kyrgyz Petroleum Company CJSC to monitor the progress of modernization and complete the work within the established time frame.
