http://www.forbes.com/business/feeds/afx/2006/12/27/afx3285005.html

AFX News Limited
China's CNPC unit wins oil and gas exploration license in Uzbekistan
12.27.06, 10:25 PM ET

  BEIJING (XFN-ASIA) - China National Petroleum Corp, the country's 
largest oil and gas producer, said its wholly-owned unit China National 
Oil and Gas Exploration and Development Corp (CNODC), has secured a 
license from state-owned Uzbekneftegaz to undertake oil and gas 
exploration in Uzbekistan.

CNPC said in a statement posted on the website of Ministry of Commerce 
that CNODC will undertake wildcat oil and gas exploration on five blocks 
with the agreement running from Dec 22, 2006 to Dec 21, 2011. Operations 
will actually start on April 2007.

The five blocks are in the Ustyurt Bukhara-Khiva and Farg'ona basins, it 
said.

In June 2004, CNPC signed an agreement with Uzbekneftegaz to boost 
cooperation in the oil and gas sector.

Under the agreement, CNPC plans to invest over 200 mln usd to drill 15 
wells in Uzbekistan within five years.

CNPC and Uzbekneftegaz will sign a new agreement to set up 50-50 joint 
venture after commercial viability is established, it added.

Uzbekistan is central Asia's second biggest natural gas producer after 
Turkmenistan.

CNPC is the parent of Hong Kong-listed PetroChina Co Ltd (nyse: PTR - 
news - people ) ( HK 0857).

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