|Project Name||UZB: SURGIL NATURAL GAS CHEMICALS|
|Borrower/Company||UZ-KOR GAS CHEMICAL LLC
|Type or Modality of Assistance||
|Strategic Agendas||Inclusive economic growth
|Drivers of Change||Private sector development
|Sector / Subsector||
Industry and trade / Industry and trade sector development
|Gender Equity and Mainstreaming|
|Responsible ADB Department||Private Sector Operations Department|
|Responsible ADB Division||Portfolio Management Division, PSOD|
|Responsible ADB Officer||Singh, Samarendra|
|Project Sponsor(s)||Kor-Uz Gas Chemical Investment Ltd.
|Objectives and Scope||The ADB assistance will finance, on a limited recourse basis, the engineering, procurement, and construction of gas wells, connecting pipeline, gas separation plant, ethylene cracker, polymer process plant, and associated utilities and offsite installations.|
|Status of Development Objectives||The Project seeks to add incremental economic value to Uzbekistan's natural gas resources, enabling higher value products to be manufactured and exported. Demonstration effect of successful implementation of a pioneering investment framework will catalyze foreign direct investment in Uzbekistan's private sector large-scale manufacturing industry. ADB's presence as a direct lender provider will incubate scarce long-term cross-border commercial lending into Uzbekistan. Natural gas is a core economic resource for Uzbekistan and the project is a PPP of government and foreign investors.|
|Status of Operation/Construction||Project construction is in progress.|
|Linkage to Country/Regional Strategy||The Uzbekistan Country Strategy and Program (CSP) 2001-2010 seeks to promote development in sectors where Uzbekistan has a comparative advantage, namely natural gas and manufacturing. Demonstration of the Investment Agreement structure supports the strategy objective of improving the business environment through improved financial norms and enabling investments for sustained GDP growth. The Project is aligned with the Strategy's focus on developing sectors where Uzbekistan has a comparative advantage in natural gas and manufacturing and leveraging that advantage for increasing the value-addition of exports and upgrading the practices and skills of its large scale manufacturing industry.|
|Summary of Environmental and Social Aspects|
|Environmental Aspects||The proposed Project involves drilling additional production wells and constructing upstream infrastructure including expanding the complex gas treatment unit (CGTU) and constructing a 115km pipeline at the Ustyurt plateau to connect to the Ustyurt Gas Chemical Complex (UGCC) which will be located within a 100 hectares greenfield development site as well as access roads and other support facilities. Since the Project involves existing facilities, an environment and social compliance audit of existing facilities and activities within Surgil Field will be conducted by the Borrower in accordance with the SPS requirements. Where land has already been acquired for any of the project components, the compliance audit will identify past or present concerns related to impacts on the environment, involuntary resettlement and indigenous peoples and plan corrective measures to address outstanding compliance issues. Where new land acquisition is required, appropriate resettlement planning documents will be prepared to mitigate impacts. The Project has created approximately 10,000 jobs during construction and 2,000 jobs are expected during operation.|
|Involuntary Resettlement||No impact. The Surgil gas field will utilize 1,188 ha of land in the bed of the Aral Sea; the pipelines, transmission lines, UGCC, and other support facilities will be constructed on 1,423 ha of state-owned semi-arid, uninhabited, and undeveloped desert lands in the Ustyurt Plateau.|
|Indigenous Peoples||No impact. Karakalpakstan has a multiethnic population and the project facilities will not affect any indigenous peoples.|
|Stakeholder Communication, Participation, and Consultation||Consultations were conducted in July 2010, March and July 2011 in Akchalak, Muynak and Kungrad settlements which were attended by local residents and officials from the district governments. Information on the Project and its impacts were disclosed and issues and concerns raised were incorporated into the project design. The ESIA was disclosed on ADB website in August 2011. Uz-Kor has appointed a Community Liaison Officer to address enquiries or complaints related to the Project.|
|Timetable for assistance design, processing and implementation|
|Concept Clearance||24 Jan 2011|
|Credit Committee Meeting||14 Nov 2011|
|Approval||17 Jan 2012|
|PDS Creation Date||11 Aug 2011|
|Last PDS Update||24 Sep 2014|
Project Data Sheets (PDS) contain summary information on the project or program. Because the PDS is a work in progress, some information may not be included in its initial version but will be added as it becomes available. Information about proposed projects is tentative and indicative.
The Public Communications Policy (PCP) recognizes that transparency and accountability are essential to development effectiveness. It establishes the disclosure requirements for documents and information ADB produces or requires to be produced.
The Accountability Mechanism provides a forum where people adversely affected by ADB-assisted projects can voice and seek solutions to their problems and report alleged noncompliance of ADB's operational policies and procedures.
In preparing any country program or strategy, financing any project, or by making any designation of, or reference to, a particular territory or geographic area in this document, the Asian Development Bank does not intend to make any judgments as to the legal or other status of any territory or area.
|Title||Document Type||Document Date|
|Surgil Natural Gas Chemicals Project: Report and Recommendation of the President||Reports and Recommendations of the President||Dec 2011|
Safeguard Documents See also: Safeguards
Safeguard documents provided at the time of project/facility approval may also be found in the list of linked documents provided with the Report and Recommendation of the President.
Evaluation Documents See also: Independent Evaluation
None currently available.
None currently available.
The Public Communications Policy (PCP) establishes the disclosure requirements for documents and information ADB produces or requires to be produced in its operations to facilitate stakeholder participation in ADB's decision-making. For more information, refer to the Safeguard Policy Statement, Operations Manual F1, and Operations Manual L3.
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