Licenses granted to Saneg for oil fields have been revoked – Head of Davaktiv
Sohibjon Murodov explained how many oil fields in Uzbekistan ended up under the control of Saneg and announced that the licenses granted to the enterprise have now been revoked because "the fields were not brought into economic circulation and the license conditions were not met." Additionally, the Fergana Oil Refinery was also taken back from Saneg because the privatization payment was not made on time.
Licenses issued to Saneg for oil fields have been revoked – Head of Davaktiv
Sohibjon Murodov, Director of the State Assets Management Agency, commented on the basis on which a number of oil fields in Uzbekistan were transferred to the control of the "Sanoat Energetika Guruhi" (Saneg). According to him, the licenses issued for these fields have been revoked.
During a press conference held on October 8, a Kun.uz correspondent asked why strategically important oil fields in the country were transferred to a private company without open tenders.
Murodov explained that the oil fields themselves were not privatized; Saneg was only granted licenses giving the right to use the subsoil.
"The fields themselves are not privatized because they are natural resources. In our country, the right to use the subsoil is granted, meaning a license is allocated. Saneg was also provided with licenses granting precisely the right to use the subsoil. Such practice also exists with other companies," said the agency director.
According to Sohibjon Murodov, the procedure for obtaining licenses granting the right to use the subsoil was previously different from what it is now. In accordance with the regulation approved by Cabinet of Ministers Resolution No. 133, under the previous practice, the first person to apply for the use of a subsoil plot could obtain a license by making the prescribed payments.
Later, this procedure was changed, and a mechanism for granting the right to use hydrocarbon fields through auction was introduced.
"In the previous practice, the first person to apply for a license for a field could obtain the right to use the subsoil by making the payment prescribed by legislation.
Later, a new practice was introduced. The right to issue licenses for hydrocarbons was also transferred to auction. This procedure was introduced starting from 2023–2024. Until then, the practice of obtaining licenses directly existed," said the head of Davaktiv.
According to him, these licenses have now been revoked.
"As far as I know, because the fields for which licenses were obtained were not brought into economic circulation and the license conditions were not met, these licenses have been revoked today.
Currently, the Ministry of Geology is developing measures for the effective use of these fields," said the head of the agency.