SOCAR (State Oil Company of the Azerbaijan Republic) and Uzbekneftegaz, Uzbekistan’s oil and gas company have launched a joint exploration project in the Ustyurt region in Uzbekistan’s Karakalpakstan.
The Production Sharing Agreement (PSA) for the exploration, development, and production in the Ustyurt investment blocks (Boyterak, Terenqquduq, Birgori, Kharoy, Korakalpok, and Kulboy) was signed in July 2025 by SOCAR, Uzbekneftegaz, and the government of Uzbekistan.
According to Azerbaijan’s Energy Minister Parviz Shahbazov, this project reaffirms the strategic importance of Azeri-Uzbek energy partnership and creates the basis for strengthening the exchange of knowledge and technology in the hydrocarbon sector of both countries, regional energy integration and joint participation in energy supply.
Uzbekneftegaz and SOCAR have also opened a Tashkent office of the Ustyurt Operating Company, which will play a key role in advancing geological exploration potential, applying cutting-edge technologies, and strengthening energy resilience in the region.
The commissioning of the operator company’s office signals the transition of the project into its active operational phase. In a short period, the project teams completed all essential preparatory steps, including registering the operator, obtaining the necessary licenses, and finalizing procedures required to launch geological exploration activities.
