Turkmen President Gurbanguly Berdimuhamedov approved the procedure for the conduct of exchange tradings on the sale of commercial oil and gas industry products to foreign countries, according to the Turkmen Ministry of Petroleum and Mineral Resources.
In accordance with the decree, the composition of the Supervisory Board on the sale of the above mentioned products to foreign countries was approved.
This is implemented to control the sale of crude oil, refined oil and gas products, petrochemical, gas and chemical and chemical products, as well as regulation of the the payments for sold products.
Institutions and businesses related to the oil and gas industry of Turkmenistan are ordered in accordance with the above procedure to conclude contracts and additional agreements on the sale of marketable products in the prescribed manner.
In accordance with the document, the Turkmen Ministry of Petroleum and Mineral Resources is also prescribed monthly submit final report to the Cabinet of Ministers on the conclusion and implementation of the relevant contracts based on the information of the State Commodity and Raw Materials Exchange, the State Customs Service of Turkmenistan, branch establishments and enterprises.
Turkmenistan, at this stage, produces about 10 million tonnes of oil annually, a significant part of which is processed in local refineries.
Turkmenistan plans to bring the oil refining industry capacity to 15 million tonnes of oil per year in 2015, up to 20 million tons in 2020, up to 22 million tonnes in 2025, and up to 30 million tonnes in 2030.
Furthermore, Turkmenistan is actively developing its gas chemical industry. Lately, large companies in Japan and South Korea have received billions of dollars of projects for the construction of a number of complexes on deep chemical processing of gas. Local experts believe that these entreprises are able to replace the export of natural gas through pipelines.
Turkmenistan ranks fourth in the world after Russia, Iran and Qatar for its natural gas reserves, according to a British Petroleum (BP) report. The largest deposits of the country are concentrated in the Mary region in the east of the country, around Galkynysh field with total resources estimated by local geologists and British GCA at 26.2 trillion cubic meters.
The Turkmen State Commodity and Raw Materials Exchange was established in 1994. It is the regulator of export-import operations. At present, domestic products, exported to more than 40 world countries, including Turkey, China, Russia , UAE, Iran , Germany, US, Great Britain, Ukraine, Switzerland are sold on the exchange.