Uzbekistan Business & Economy - The Times Of Central Asia

Viewing results 1 - 6 of 856

Uzbekgaz

SOCAR and BP Prepare for Exploration Drilling in Uzbekistan’s Ustyurt Region

Azerbaijan’s SOCAR, Britain’s BP, and state-owned Uzbekneftegaz are preparing for exploration drilling across six blocks in Uzbekistan’s Ustyurt region. Following completion of a 3D seismic survey, the next stage involves processing the data and selecting a site for the first exploration well. Drilling will help establish whether preliminary estimates of 100 million metric tons of oil and 35 billion cubic meters of gas could translate into commercially recoverable reserves. The work covered the Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq, and Qulboy blocks in the Republic of Karakalpakstan. The seismic survey covered more than 3,000 square kilometers, compared with a minimum commitment of 1,000 square kilometers. The partners reviewed the completed fieldwork and discussed preparations for exploration drilling at a managing committee meeting in Tashkent on September 7. The data still need to be processed and interpreted, and no drilling location or date has been announced. Total investment in the project has been estimated at approximately $2 billion, with development dependent on a commercial discovery. The partners remain at the exploration stage and have committed to drilling one well. Decisions on further investment will depend on its results. Uzbek officials expect the six blocks could contain around 100 million metric tons of oil and 35 billion cubic meters of gas. Potential annual oil production has been estimated at five million metric tons. All three figures remain projections: seismic data help identify promising structures, but drilling is needed to confirm the presence and characteristics of hydrocarbons. Uzbekistan’s Energy Ministry, SOCAR, and Uzbekneftegaz signed a production-sharing agreement covering the six blocks in July 2025. SOCAR was designated the operator. BP joined the project in May 2026, acquiring a 20% interest from each of the two original partners. The British company now holds 40%, while SOCAR and Uzbekneftegaz retain 30% each. The deal marks BP’s return to exploration in Uzbekistan, where it first signed exploration agreements with the same partners in 2018 before withdrawing in 2021. The acquisition coincided with BP’s renewed emphasis on oil and gas investment. The company had previously reduced its exploration portfolio as part of a shift toward low-carbon energy, but subsequently revised its strategy and refocused on its traditional business. When BP joined the project, its regional president for Azerbaijan, Georgia, and Turkey, Gio Cristofoli, said the company saw significant resource potential in Uzbekistan. He said participation in the agreement would expand BP’s exploration portfolio and support its long-term organic growth. For SOCAR, the Ustyurt survey is its largest seismic exploration project outside Azerbaijan. In June, the company reported that more than 80% of the seismic program had been completed and that initial results were providing insights into deeper geological structures. SOCAR announced the completion of fieldwork in July, with data processing expected to finish in the first quarter of 2027. The partners have developed a work plan through 2029. Uzbekneftegaz head Abdugani Sanginov previously proposed accelerating the project and beginning drilling by the end of 2027, but an approved drilling schedule has not been published. Uzbekistan needs to find...

Central Asia-South Korea Summit 2026

From Critical Minerals to Connectivity: South Korea’s Stakes in Central Asia

On September 16, Seoul hosted the first Korea–Central Asia Summit, bringing President Lee Jae Myung together with the heads of all five Central Asian states. The meeting elevated a dialogue that has run at a ministerial level since 2007 to the level of heads of state. The leaders adopted a Seoul Declaration setting the terms for future engagement and agreed to hold summits every two years. On September 14, trade and industry ministers from South Korea and the five Central Asian states met in Seoul for the first C5+Korea Industry Ministers’ Meeting. They signed a joint statement launching a standing platform for industrial cooperation. Uzbekistan’s Ministry of Investment, Industry and Trade used the occasion to push for a shift away from raw-material trade toward joint production and localization. Behind the diplomatic choreography sits a practical problem: the minerals both sides keep discussing cannot move without a route to carry them. A Minerals Agenda with Separate Tracks South Korea relies heavily on imported minerals for its manufacturing industries. Seoul has been developing separate plans with each country. With Tajikistan, discussions have focused on gold and silver, alongside antimony. With Kyrgyzstan, Seoul has been discussing antimony and tungsten. Cooperation with Uzbekistan covers minerals and digital manufacturing. With Kazakhstan, a central issue is moving beyond raw exports toward processing inside the country, as The Times of Central Asia reported ahead of the summit. South Korean firms are pursuing supply diversification independently. POSCO International and LX International have been expanding overseas mineral investments, including graphite and nickel projects, amid Chinese export restrictions. The Transport Connection Consider the Bolashak chrome mine in Kazakhstan, which Eurasian Resources Group launched in late 2024. The company plans to ramp it up to a design capacity of 7.5 million metric tons of chrome ore a year. Production on that scale makes reliable transport an essential part of the commercial equation. An Atlantic Council analysis identifies limited processing capacity and underdeveloped westward routes as obstacles to U.S. mineral partnerships with Central Asia. It presents the Trans-Caspian Middle Corridor as a route to Western markets that avoids Russian and Iranian territory. That argument needs a distinction when applied to Korea. The corridor runs westward toward Europe; it is not a prerequisite for minerals to reach South Korea. Its relevance is the wider choice of buyers it could offer Central Asian producers, including potential Korean-backed processing ventures serving those markets. That corridor is being built out. The Aktau container hub has a planned capacity of 240,000 twenty-foot equivalent units. The World Bank-backed Mointy–Kyzylzhar railway is meant to remove a 149-kilometer detour and accommodate 30 train pairs a day, against roughly ten on the existing constrained route. Traffic is already rising: 125 container trains crossed Kazakhstan on the Trans-Caspian route in the first quarter of 2026, up 34.4% year-on-year. Japan has also become involved, pledging in August 2025 to help modernize customs operations at the port of Aktau. The Seoul Declaration also backs Korean participation in transport infrastructure, including modernization and digitalization. In...

State Asset Sales

Uzbekistan Privatization: Unsold State Assets Relisted With $85 Opening Bids

Uzbekistan has begun putting previously unsold state assets back on the market, with opening bids starting at 1 million Uzbek soums, or about $85. The first lots include stakes in small companies, a district laboratory, vacant buildings, and a former mineral fertilizer warehouse. That figure is the opening bid in an electronic auction, not a valuation of the property. The final price will be determined by bidding. The new rules took effect on September 8 and cover 84 previously unsold assets. They are part of a new privatization package approved by President Shavkat Mirziyoyev on August 28. The government also plans to offer stakes in another 84 companies, 1,242 real estate properties, and about 8,000 hectares of land. The package also calls for 85 enterprises to be liquidated or reorganized. Among the first offerings is a 100% stake in Bukhsu Scientific Biotechnology, a limited liability company registered in Bukhara. Despite its name, the state registry lists its activity as auxiliary services in the field of education. Another lot is a 100% stake in Yangiyo‘l tuman laboratoriya, a district laboratory in Yangiyul District, Tashkent Region. The state had already tried to sell it, offering the stake for about $820 in May 2026, but no buyer emerged. Also for sale are a 100% stake in Iqtisod-Moliya and a 30% stake in Ferula Shifobaxsh. The latter is associated with agriculture and is currently listed in the state registry as inactive. The real estate lots include retail premises, vacant buildings, and a former warehouse used to store and distribute mineral fertilizers. In Samarkand Region, authorities separately announced the renewed sale of five properties in the Narpay, Kattakurgan, Pakhtachi, and Urgut districts. All of the assets have been offered for sale before without success. Uzbekistan has been selling state-owned companies, banks, real estate, and land for years. Large transactions attract international capital. Alongside them, however, is a less visible part of the state economy: small businesses and properties with no obvious buyer. The problem predates the latest decree. As of April 1, 2025, more than 3,600 state assets remained on sale with a combined starting value of about $1.4 billion. Prices had been reduced for 440 assets after they remained unsold for more than three months. In 153 cases, prices had been cut by 70–90%. In 2024, Mirziyoyev criticized slow sales and inflated valuations of some state property. A new privatization program at the time included stakes in hundreds of enterprises and more than 1,000 real estate properties. The latest decree accelerates the process. After three months without a buyer, the price of an asset can be reduced in stages. Some properties can also be sold through a hybrid auction, in which the price falls until a bidder emerges and then rises as participants compete. Payment terms are also changing. Buyers need to make an initial payment of only 15%, with the remainder payable in interest-free installments. If 35% is paid within the first three months, the balance can be spread over up to five...

Digital Economy

ICT Week Uzbekistan 2026 Brings Startups and Investors to Tashkent

Tashkent will host ICT Week Uzbekistan 2026 from September 22 to 25, bringing together startup founders, investors, technology companies, and industry experts from Uzbekistan and abroad. The four-day event will be held at CAEx, the Central Asian Expo Uzbekistan exhibition center. Its startup and investment programme will focus on technology entrepreneurship, venture capital, and the international expansion of Uzbek companies. The Times of Central Asia is a media partner of ICT Week Uzbekistan 2026 and will cover key developments and discussions taking place during the event. The startup and investment programme will begin on September 22 with the Startup & Venture Summit, which is expected to bring together representatives of the global startup ecosystem. Discussions will focus on developing the regional venture market, access to capital, international expansion, and the roles of public and private investors in building startup ecosystems. On September 23, the Enterprise Uzbekistan Summit will focus on Uzbekistan’s development as a technology jurisdiction for international businesses. The programme will address legal certainty, institutional infrastructure, and conditions for attracting foreign technology companies and investment. The summit will include presentations by Enterprise Uzbekistan, keynotes from EY and BDO, a fireside chat involving IT Park Uzbekistan and Enterprise Uzbekistan, and a panel discussion titled “Rethinking Jurisdictions for the Global Technology Economy.” The same day will also feature the Global Startup Ecosystem Awards by StartupBlink, held in cooperation with IT Park Uzbekistan. The ceremony will recognize cities, countries, and regions that have performed strongly in StartupBlink's global rankings. It will be followed by a discussion on best practices in startup ecosystem development, with participants expected to examine factors behind successful ecosystems and how developing technology markets can use existing experience. One of the main events of the week will be the regional final of the Startup World Cup on September 24. Selected startups will present live pitches to an international jury and venture capital representatives. The winner will have an opportunity to advance to the global Startup World Cup in San Francisco, where finalists from around the world will compete for a $1 million investment prize. Artificial intelligence will also have a major role in this year’s programme. The AI Native: Ideas to Innovation event on September 24 will explore the development of AI ideas into technology and business products, covering areas such as large language models, cloud technologies, multilingual AI, robotics, AI agents and business automation. The programme will also look at opportunities for young specialists through AI education, hackathons and career paths. The technical side of technology growth will receive attention on September 25 during AWS Community Day Uzbekistan, which will focus on cloud technologies and solutions for scaling digital products. The final day will also feature the Ignyte AI Challenge, where startup teams will present AI-based solutions to international experts, as well as TAQDIMOT, a Startup Show & Pitch Battle featuring short presentations from technology projects. The startup-focused programme is part of a broader ICT Week agenda. Other events include several AI-focused forums and sessions, the Fintech Forum,...

Central Asia-South Korea Summit 2026

South Korea and Uzbekistan Sign 13 Agreements as Seoul Deepens Cooperation Across Central Asia

Uzbekistan and South Korea signed 13 cooperation documents during President Shavkat Mirziyoyev’s visit to Seoul on September 14, covering areas including critical minerals, artificial intelligence, rail transport and defense. South Korean President Lee Jae Myung will host the first summit with all five Central Asian states on September 16. The five Central Asian presidents due to attend are Kazakhstan’s Kassym-Jomart Tokayev, Uzbekistan’s Shavkat Mirziyoyev, Kyrgyzstan’s Sadyr Japarov, Tajikistan’s Emomali Rahmon, and Turkmenistan’s Serdar Berdimuhamedov. Mirziyoyev’s talks opened a series of bilateral meetings running through September 16, with Kazakhstan and Turkmenistan scheduled for September 15, and Tajikistan and Kyrgyzstan the following morning. Among the Uzbek agreements is a memorandum to launch feasibility studies under South Korea’s Economic Development Cooperation Fund on the introduction of eight high-speed train sets and the establishment of a national genome and biobank center. The projects’ scope will depend on the studies’ findings. Uzbekistan had already agreed to purchase six high-speed trains from Hyundai Rotem in 2024. The Export-Import Bank of Korea and Uzbekistan’s investment ministry also agreed to identify potential projects and explore financing in six priority areas. These include critical minerals, AI and data centers, smart cities, an industrial complex for Korean companies, pharmaceuticals and biotechnology, and food, beauty and cultural industries. The presidents also agreed to use the Korea–Uzbekistan Rare Metals Center as a base for strengthening cooperation across exploration, development and processing. They agreed to expand cooperation on the use of AI in manufacturing. The package includes a defense cooperation contract involving Korea Aerospace Industries and an Uzbek counterpart. The South Korean government’s published summary did not identify the equipment or disclose the contract’s value. The agreements build on South Korea’s established economic presence across Central Asia. Its foreign ministry identifies Kazakhstan as its largest investment destination in the region, based on investment data through 2023. Kazakhstan’s industry ministry has put bilateral industrial cooperation at 46 joint projects worth about $3.9 billion, covering Hyundai and Kia vehicle production, Hyundai trucks and buses, ferroalloys and Samsung home appliances. Hyundai Trans Kazakhstan, part of Kazakhstan’s Astana Motors, produced 52,040 vehicles in Almaty in 2025, while Kia Qazaqstan began operating in Kostanay late that year, according to TCA’s reporting on Kazakhstan’s automotive industry. Korean companies are also involved in transport infrastructure and urban development. A Turkish–South Korean consortium secured the Big Almaty Ring Road public-private partnership, while South Korean partners are involved in the planned K Smart City district at Alatau. South Korean companies have participated in major industrial projects in Turkmenistan, including the Kiyanly gas chemical complex and gas processing facilities at the Galkynysh field. Daewoo Engineering & Construction is working on a mineral fertilizer production complex in Turkmenabat, where South Korea’s ambassador reviewed construction preparations in June. Turkmenistan’s foreign ministry has also highlighted Korean participation in transport infrastructure and shipbuilding. In Kyrgyzstan, South Korea has provided technical assistance to the textile sector and committed funding for a five-year digital-transformation program starting in 2026. The two governments are also examining potential cooperation involving Kyrgyzstan’s antimony...

Women's Employment

Why Uzbekistan Is Losing Women Engineers

A young graduate of an energy college in Uzbekistan’s Syrdarya Region spent two years working with Acwa, one of the country’s largest foreign energy companies. When the company offered her a permanent job in Tashkent, her parents were reluctant to let her move to the capital. Company representatives invited the family to see where she would be working and eventually persuaded her parents to change their minds. Stories like this help explain why women with technical training do not always make it to Uzbekistan’s power plants and other energy facilities. A study commissioned by Acwa and the American Chamber of Commerce in Uzbekistan examined the barriers facing women in energy, particularly in the transition from technical education to employment. Gender researcher and legal scholar Kamola Alieva interviewed women and employers in several parts of Uzbekistan, including Tashkent and Karakalpakstan. She told The Times of Central Asia that the aim was to understand why women trained in technical fields often leave their professions or move into other roles. [caption id="attachment_56144" align="aligncenter" width="1280"] Image: Alieva, Acwa[/caption] “We wanted to understand where and why women drop out of the profession, rather than count their numbers,” Alieva said. Two figures appeared in the presentation, around 40% for women in STEM education and around 12% for women in the energy sector. Alieva clarified that the study itself did not calculate either figure. According to the International Labour Organization, 40.2% of female university graduates in Uzbekistan had studied STEM subjects in 2021, up from 32.6% in 2017. The figure represents the share of female graduates who studied STEM, not women’s share of all STEM students. In some engineering programs, the number of women is far lower. At one energy college Alieva visited during the research, only 16 of more than 100 students admitted were women. “Already at the education stage, the number of girls drops significantly,” Alieva said. The reasons often lie outside the college or university. Parents may regard engineering as a male profession or object to their daughters moving to another city. The work itself can involve shift schedules and travel to remote energy facilities. After graduation, some women move into procurement, administrative work, or social projects instead of engineering and operational positions. Employers told researchers that women submit almost no applications for some technical vacancies. Women are particularly scarce in equipment maintenance and plant operations. Few hold managerial positions. This comes amid a significant employment gap between men and women across Uzbekistan’s economy. The World Bank estimated the labor-force participation gap at 28 percentage points in 2021. Unemployment among young women stood at 15.5%, compared with 10% among young men. Women earned 34% less than men on average. At industrial sites, the barriers can be more basic than career policy. “Conditions at industrial sites often make it clear themselves that women are not expected there,” Alieva said. She noted that many sites lacked separate toilets and showers, as well as accommodation for women. Questions about marriage and children, including whether a husband permitted...