Central Asian neighbor Kyrgyzstan seeks cooperation with China to diversify fuel supply
Vice Prime Minister Erlisht Akunbekov of Kyrgyzstan held talks with executives from China National Petroleum Corporation (CNPC) and Sinopec Group.
Kyrgyzstan is pursuing China as a more stable source of gasoline and diesel to achieve greater diversification in its fuel supply. The capital, Bishkek, is negotiating with China’s energy giants—CNPC and Sinopec—over the construction of petroleum storage facilities and a pipeline for refined products near the border region between China and Kyrgyzstan. According to President Sadyr Japarov, Russia currently supplies about 90% of Kyrgyzstan’s fuel. Establishing an alternative supply route would reduce dependency on a single supplier.
The talks took place in Beijing on September 23. Vice Prime Minister Erlisht Akunbekov met with senior officials from CNPC and Sinopec. According to the Kyrgyz Cabinet, Kyrgyz enterprises are in the process of signing agreements for the supply of petroleum products with the two Chinese corporations.
The discussions come amid disruptions in Russian fuel deliveries this year.
Bishkek has proposed building petroleum storage facilities near two major road crossings between the two countries—Torugart and Irkeshtam. These facilities aim to lower logistics costs. The parties are also exploring the development of a dedicated pipeline for refined products, which could provide an additional potential route for cross-border fuel transport.
Discussions also included domestic oil production in Kyrgyzstan. Both sides are considering the construction of a new refinery, as well as joint exploration and development of oil fields.
Chinese capital has already entered the sector. The Koydorba-1 refinery, located about 60 kilometers west of Bishkek, is controlled by a Chinese investor. With an annual crude processing capacity of up to 800,000 tons, the facility is currently undergoing a modernization project costing nearly $194 million. The upgrade is expected to increase output and enable the refinery to produce fuels compliant with Euro 5 standards, which impose stricter limits on sulfur and other harmful pollutants.
On the same day, Kyrgyzstan’s Cabinet Chairman Adilbek Kasymalyev met with Chinese Premier Li Qiang in Hangzhou. The Ministry of Energy of Kyrgyzstan signed a cooperation agreement with China’s National Energy Administration on power sector projects. Government statements did not specify the exact projects covered by the agreement.
The proposed oil pipeline and border storage facilities remain under discussion and are separate from the recently concluded fuel supply agreements.
Source: Central Asia Times
Original: toutiao.com/article/1877261762861066/
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