The partners will now draft the joint venture’s charter and founding document. They will have equal stakes in the project, I.

The Mingbulak oil field is located in the Fergana hydrocarbon area in the Namangan region. It was discovered in 1992. Uzneftegazdobycha, part of Uzbekneftegaz, is developing the field. Its estimated reserves have not been published.

The China National Oil and Gas Exploration and Development Corporation (CNODC), part of CNPC, set up a subsidiary with 100% Chinese capital in December 2006. The subsidiary, CNPC Silk Road, will conduct geological surveys in the oil and gas regions of Uzbekistan.

CNPC Silk Road has a license to conduct geological surveys at five blocs in the Ust-Yurt, Buhara-Khiva and Fergana regions. It started the work in 2007.

The CNODC is due to invest $208.5 million in geological surveys within five yeas.

Uzbekneftegaz is the sole operator in Uzbekistan’s oil and gas industry. It was formed in 1998 and united six joint stock companies.