OREANDA-NEWS. January 23, 2015. The total cost of Ustyurt Gas Chemical Complex (UGCC) is USD 3.9 billion. Its construction is being carried out in the framework of an large-scale program on modernization the oil and gas industry of Uzbekistan, reports the press center of the  National Holding Company (NHC) "Uzbekneftegaz".

This project is the first by its scale in the petrochemical sector, implemented on the basis of a long-term project financing not only in Uzbekistan, but throughout the CIS. Its implementation will ensure in 2016 the annual production of 4.5 billion cubic meters of natural gas, 387 thousand tons of high density polyethylene, 83 thousand tons of polypropylene, about 100 thousand tons of pyrolysis gasoline with the establishment of over a thousand new jobs directly in the complex.

The construction work initiated in 2012 is being carried out with an accelerated pace today. It has being erected modern infrastructure and installed high-tech equipments.

The sources of its funding are direct investments of founders from the joint ventures - South Korean companies "KOGAS", "Lotte", "STX Energy" and "Uzbekneftegaz" in the amount of USD 1.4 billion, and loans totaling more than USD 2.5 billion attracted on the principles of project financing and maturity of 16 years.

The project is also supported by the Asian Development Bank, Korea Development Bank, Korea Finance Corporation (South Korea), China Development Bank (China), ING (Netherlands), KfW, Bayern LB, Siemens Bank (Germany), Credit Suisse (Switzerland), Nordea, SEC (Sweden), as well as export credit agencies of South Korea, Germany and Sweden, who provided the insurance coverage for the participating banks.