Turkmenhimiya Signs Agreements with Turkish-Japanese Consortium for 3 Projects

Turkmenhimiya Signs Agreements with Turkish-Japanese Consortium for 3 Projects

The Turkmen state concern Turkmenhimiya has signed three framework agreements with companies from Turkey and Japan for projects in gas and oil processing, the newspaper Neutral Turkmenistan reported.

The documents were signed following Turkmen President Serdar Berdimuhamedov’s visit to Japan on April 14-15.

An agreement was signed with Kawasaki Heavy Industries Ltd. (Japan), Ronesans Endustri Tesisleri Insaat Sanayi ve Ticaret A.S. (Turkey), and Itochu Corporation (Japan) for engineering, procurement, and turnkey construction of a second gas-to-gasoline plant in Turkmenistan’s Ahal region.

Another agreement was concluded with Mitsubishi Heavy Industries Ltd. (Japan), Gap Insaat Yatirim ve Dis Ticaret Anonim Sirketi (Turkey) and Mitsubishi Corporation (Japan) for designing, procuring, and turnkey construction of a carbamide plant with annual capacity of 1.155 million tonnes in the Kiyanly settlement of the Balkan region.

A separate agreement was signed with Toyo Engineering Corporation (Japan) and Ronesans Endustri for major repairs at the Kiyanly polymer plant.

Additionally, the Turkmen Energy Ministry and Japan’s Sumitomo Corporation signed a framework agreement for converting power plants to combined-cycle operation. Several memorandums of understanding were also signed between Turkmen agencies and Japanese companies.

Specific memorandums of understanding include those between the Turkmen Energy Ministry and Muroosystems Corporation, the Turkmen State Committee for Arkadag City Construction and Sumitomo Heavy Industries Ltd, and the Turkmen State Water Management Committee and Kubota Corporation.

The Turkmen State Bank for Foreign Economic Affairs also signed a cooperation memorandum with the Japanese Export and Investment Insurance Agency.

Turkmenhimiya previously said that the new gas-to-gasoline plant will have annual capacity of 600,000 tonnes. The first such plant launched in 2019 processes 1.785 billion cubic meters of gas annually to produce 600,000 tonnes of Eco-93 gasoline, 12,000 tonnes of diesel, and 115,000 tonnes of LPG.

The Kiyanly polymer plant, commissioned in 2018 through a $3.4 billion project implemented by Turkmengaz with Korea’s LG International Corp and Hyundai Engineering plus Japan’s Toyo Engineering, processes 5 bcm of natural gas annually to produce 381,000 tonnes of high-density polyethylene, 81,000 tonnes of polypropylene, and up to 4.5 bcm of commercial gas fed into pipeline systems. Production figures aren’t published. Turkmengaz previously announced an international tender to build an isobutane production unit at the plant for capacity diversification.