Oriented on making people closer

Ashgabat, May 14 | ORIENT. As part of an international meeting with the participation of heads and representatives of the domestic fuel and energy complex and specialized foreign companies, a new Production Sharing Agreement for the gas condensate fields of Block I in Turkmenistan, as well as a long-term Gas Supply Agreement, was signed. The documents were signed between the Malaysian company PETRONAS, XRG, which is an investment division of the Abu Dhabi National Oil Company (ADNOC), the State Enterprise Khazarnebit and the state concerns Turkmennebit and Turkmengaz. The participation of National Leader of the Turkmen people, Chairman of the Khalk Maslakhaty of Turkmenistan Gurbanguly Berdimuhamedov in this meeting gave the event special significance.

According to a PETRONAS press release, under the terms of the new Block I PSA (the concession is located in the Caspian Sea), PETRONAS will act as the operator with a 57% stake. In partnership with XRG (38% stake), they will work with state-owned enterprise Khazarnebit, which holds the remaining 5%.

In addition, a long-term Gas Supply Agreement was signed directly with the State Concern Turkmengas.

In a statement, PETRONAS noted that Block I currently produces approximately 400 million cubic feet of natural gas per day and has significant long-term potential with access to more than 7 trillion cubic feet of natural gas resources, as well as future opportunities for capacity expansion.

The agreements are designed to support Turkmenistan’s efforts to ensure energy supply stability and export diversification, while promoting sustainable growth and economic value creation for all parties amid growing regional and global demand for natural gas.

As highlighted by PETRONAS Executive Vice President and Chief Executive Officer of Upstream Mohd Jukris Abdul Wahab, the signing was an important milestone that strengthens the company’s presence in Turkmenistan, where PETRONAS has been the first international operator for almost three decades. He expressed the company’s commitment to further developing the country’s energy industry and strengthening long-term partnerships.

Mohamed Al Aryani, President of International Gas at XRG noted that this agreement marks an important milestone in XRG's global growth strategy, based on strengthening relations between the UAE and Turkmenistan. According to him, this cooperation strengthens XRG's presence in the Caspian region, expands its resource base and reflects the company's aspiration to become a reliable supplier of cleaner energy, promoting energy security and economic development.

According to TDH, during the meeting, the consistent development of international cooperation in the oil and gas sector by Turkmenistan was noted, great importance is attached to establishing relations with large companies based on trust and mutual benefit. The importance of introducing advanced technologies, innovative methods and world experience for the development of industries and the development of modern digital technologies was emphasized. In the business atmosphere of the meeting, the potential for further intensification of cooperation was emphasized.

Photo: Petronas