TASHKENT: Uzbekistan announced on Monday that it has entered into a two-year contract with Russian energy giant Gazprom for the importation of natural gas. This deal comes as Russia seeks new markets for its energy exports amid sanctions imposed on its energy sector.
Under the agreement, Gazprom will supply approximately 2.8 billion cubic meters of gas per year to Uzbekistan, with deliveries set to begin on October 1. This marks the first time Uzbekistan will be importing gas from Russia. The gas will be transported through the Central Asia-Center pipeline, a legacy infrastructure dating back to the Soviet era that connects Russia with the former Soviet republics in the region.
The contract was signed on Friday in Saint Petersburg, amidst a significant decrease in gas deliveries to Europe due to reduced imports of Russian gas following Moscow’s invasion of Ukraine. Russia has been exploring opportunities to redirect its exports to Central Asian countries such as Kazakhstan and Uzbekistan, which have experienced energy shortages despite their own gas and oil resources. Moscow has expressed its interest in establishing a “gas union” with these two nations.
Energy Crisis in Uzbekistan
Uzbekistan faced a severe energy crisis last winter due to a surge in demand exacerbated by unusually cold weather and aging infrastructure. Despite producing 51.7 billion cubic meters of gas in 2022, the country was compelled to temporarily suspend its gas exports to China. In January, Uzbekistan had previously announced a gas supply agreement with Gazprom, set to commence in March, but no further details have been provided since then.
The new contract with Gazprom is expected to alleviate Uzbekistan’s energy challenges and ensure a stable gas supply for the nation. It also signifies a step towards increased cooperation between Uzbekistan and Russia in the energy sector.