OREANDA-NEWS. August 25, 2014. In the presence of Chinese President Xi Jinping and his Uzbekistan counterpart Islam Karimov, CNPC Chairman Zhou Jiping and Chairman of Uzbekneftegaz Shokir Fayzullayev signed an agreement on Line D of the Central Asia-China Gas Pipeline in Uzbekistan, and an MOU for building a natural gas chemical plant at Mubarek.

Under the agreement, CNPC and Uzbekneftegaz will establish a JV company to construct and operate the Uzbekistan section of Line D of the Central Asia-China Gas Pipeline. Upon the operation of Line D, the Central Asia-China Gas Pipeline will have an annual deliverability of 85bcm, the largest gas transmission system in Central Asia.

Also, the two companies intend to build a natural gas chemical plant at Uzbekneftegaz's Mubarek Gas Processing Plant, to produce polyethylene and liquefied gas aiming at the Central Asian markets. The economic and technological feasibility studies are to be started soon.