S. Korean oil company signs exploration pact with Uzbekistan

By Lee Joon-seung
SEOUL, Nov. 10 (Yonhap) -- South Korea's state-run oil company said Monday that it signed a exploration and drilling pact with its Uzbekistan counterpart that could help expand future resource development in the Central Asian country.

The deal with Uzbekneftegaz is a follow up on the broad understanding reached in
May during South Korean Prime Minister Han Seung-soo's visit to Tashkent, and
permits two-dimensional seismic readings and drilling to take place, the Korea
National Oil Corp. (KNOC) said.
KNOC is expected to survey the Namangan-Tergachi and Chust-Pap regions that cover
a combined 4,800 square kilometers in the eastern part of the country, and may
hold 10.5 million tons of gas or 9.2 million tons of crude oil.
The exploration agreement is also significant because it is the first arrangement
where a South Korean company has been named as the main exploration contractor of
a prospective gas and oil field in Uzbekistan.
"If the exploration confirms existence of oil or gas actual commercial operations
can begin around 2011," a official source said.
He added that the pact could lead to the signing of similar deals that can help
reduce South Korea's dependence on foreign energy resources.
yonngong@yna.co.kr
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