In line with tender documentation, the Uzbek side will contribute 51% and foreign investors will invest 49%. Foreign investors should contribute money resources and equipment for production of cement, used in oil and gas industry.

The venture will produce 300,000 tonnes of cement a year, including 100,000 tonnes of oil-well cement, 100,000 tonnes of sulfate resistant cement and 100,000 tonnes of Portland cement. The project will be realized within three years.

Uzbekneftegaz said that demand for oil-well cement in increasing in Uzbekistan due to the growth of exploitation drilling in oil and gas industry. The construction of the plant will help to satisfy large part of demand in the country.

Currently, Uzbekistan has six cement plants with set capacity of 6.5 million tonnes. Kyzylkumcement (3.08 million tonnes), Ahangarancement (1.74 million tonnes) and Kuvasoycement (920,000 tonnes) are largest of them.

The country increased cement production by 4.3% year-on-year in 2008 to 6.3 million tonnes. The export of cement grew by 2.5% to 1.1 million tonnes.