Category Archives: Uncategorised

Japanese holding to build Turkmen power plant

OCT. 21 2015 (The Conway Bulletin) — Sumitomo Corporation, a Japanese holding focusing on industrial production, said it will build a $330m thermal power plant in the north- western part of Turkmenistan. Mitsubishi Hitachi Power Systems, another Japanese company, will provide the gas turbine for the new 400 megawatt plant. Japanese PM Shinzo Abe will visit Turkmenistan at the end of October to attend the signing of the deal.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

EX-Armenian PM Sargsyan heads Eurasian Union Commission

OCT. 16 2015 (The Conway Bulletin) – Former Armenian PM Tigran Sargsyan will take over as chairman of the Eurasian Economic Commission on Feb. 1, an appointment that highlights Russian President Vladimir Putin’s influence over the group.

The Russia-led Eurasian Economic Union (EEU) announced Mr Sargsyan’s appointment after a meeting in Astana. Mr Sargsyan succeeds Russian Viktor Khristenko.

According to media, Belarus President Alexander Lukashenko said of Mr Sargsyan’s appointment: “His candidacy is supported by the Russian President as they worked together some time ago.”

The Eurasian Economic Commission runs the EEU — which also includes Kazakhstan and Kyrgyzstan as its members — on a day-to-day basis, and Mr Sargsyan’s appointment should, at first sight, give Armenia more influence over the trade bloc.

The reality is different, though. The EEU is a Russian project and Mr Lukashenko’s words show just how influential Mr Putin is over the group. Without his support, Mr Sargsyan could not have been appointed as chairman.

Since April 2014, Mr Sargsyan has been the Armenian ambassador to the United States. He had been PM between 2008-14 but quit abruptly after his government’s reforms to the state pension programme proved unpopular.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

SP to exclude Kashagan from Kazakhstan’s economic forecasts

ALMATY, OCT. 20 2015 (The Conway Bulletin) — Ratings agency Standard & Poor’s said it would exclude Kashagan, Kazakhstan’s biggest oil field, from its Kazakh economic forecasts because its start-up date was unclear.

The news is a setback for NCOC, the consortium developing the Caspian sea field, which includes Eni, Shell, ExxonMobil, Total, CNPC, Inpex and Kazakhstan’s state-owned company Kazmunaigas.

Karen Vartapetov, S&P’s associate director, explained.

“The project has been repeatedly delayed. We are no longer taking this oilfield into account in the rating procedures,” she said.

Operations at Kashagan begun, briefly, in September 2013, eight years behind schedule. Two weeks later a leaky pipe was discovered and operations were stopped.

The delay has been costly for NCOC, adding an estimated $4b to the current $50b cost of the project.

The Kazakh government and NCOC say commercial production at

Kashagan will resume in the second half of 2016. S&P has forecast a start date no earlier than 2018.

Rich with oil and gas reserves, Kashagan was poised to become the gem of Kazakhstan’s resource-based economy. But technical problems and low oil prices have meant this glittering prize has been delayed.

Over the past few years, international oil companies have quit the project. Now S&P’s decision not to include it in Kazakh econ forecasts further undermines its status .

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Kazakhstan’s Eurasian Bank buys rival

OCT. 20 2015 (The Conway Bulletin) — Eurasian Bank, a private lender in Kazakhstan linked to members of the elite, said it had bought a 100% stake in BankPozitiv, a Kazakh subsidiary of a Turkish bank. Michael Eggleton, Eurasia Bank’s CEO said the deal will not exceed $32m. In anticipation of tighter capital requirements and in an effort to cut costs, foreign banks have been selling their assets in Kazakhstan.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Kyrgyz electricity prices rise

OCT. 21 2015 (The Conway Bulletin) – Nurbek Elbayev, director of the Kyrgyz energy regulatory agency, said electricity tariffs will rise sharply over the next two years. The regulator will impose a 21% increase in August 2016 and a 29% rise in 2017. Electricity prices have risen across the region, triggering civil unrest.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Turkmenistan delays TAPI construction

OCT. 20 2015 (The Conway Bulletin) – Turkmenistan said construction of the TAPI pipeline that will, it is hoped, pump gas from fields in the east of the country to consumers in India would start in 2016. Earlier this year, Turkmenistan had pushed for TAPI to start by the end of 2015. TAPI is a $10b project that will cross Afghanistan and Pakistan.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Azerbaijan’s oil production rises

OCT. 20 2015 (The Conway Bulletin) – Azerbaijan produced 31.4m tonnes of oil in the first nine months of the year, around 3% more than had originally been expected, media reported quoting the state oil and gas company. This will be a relief for Azerbaijan’s government which relies on oil for its main revenue.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Tajik capital demolition angers many

OCT. 23 2015, DUSHANBE (The Conway Bulletin) — The authorities in Tajikistan plan to demolish some of Dushanbe’s most striking buildings to make way for new developments, infuriating many people.

Specifically, city planners are eyeing up the Rohat teahouse — a tourist destination — two theatres, the former presidential administration and the current parliament building for demolition. All of the buildings lie on prime real estate in the city centre and were built during the early Soviet period.

Nurali Saidzoda, deputy head of architecture and construction committee, told Tajik media last week that the buildings selected for demolition are not unique.

“If you had seen the blueprints of what will be built in their places, you would say the same,” he said.

The Tajik authorities appear to have something of a fad for large construction projects and grandiose design. Over the past few years they have built the biggest library, biggest teahouse, and biggest mosque in the region.

But not everybody was happy. Grassroots activism is rare in Tajikistan but, even so, hundreds of people signed an online petition calling for the demolition to be scrapped.

Fotima, an old woman walking in central Dushanbe, said she was concerned about the future of the city.

“The buildings to be demolished carry the spirit of the city. The city will not be as the same as I remember it anymore,” she said.

Abdulfattoh Shafiev, a Dushanbe- based analyst, said the demolition plans was linked to business.

“Demolition of old Stalinist buildings in the Tajik capital is completely unrelated to any ideology and is simply a business idea to build new and bigger skyscrapers in the most valuable part of Dushanbe, down- town,” he said.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Tajik baby dies in Russia

OCT. 22 2015 (The Conway Bulletin) – The Russian authorities declined to take responsibility for the death of Umarali Nazarov, a five-month old Tajik boy who died in police custody in St. Petersburg nine days earlier. Nazarov had been separated from his parents who were also detained. Tajikistan has lodged an official complaint about Nazarov’s death.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)

Currency: Kazakh tenge, Georgian lari

OCT. 23 2015 (The Conway Bulletin) — Despite all the reassuring declarations coming from Astana and the Central Bank in Almaty, volatility will be a constant for the Kazakh currency over the next months. There is just no getting away from it.

On Wednesday, Kairat Kelimbetov, Kazakhstan’s Central Bank chief, said 277.5 tenge/ $1 is an acceptable rate as long as oil prices float around $50 per barrel. Already on Friday, Brent prices fell to $48 and the tenge followed to 278.2. Over the past fortnight it has lost 1.5% against the US dollar.

Other currencies fared better this week, maintaining their value. The Georgian lari was steady at 2.39/$1 and even the Kyrgyz som had a calm week below 69/$1.

Rumours of devaluation are more worrisome in Uzbekistan, where the sum is officially stable at around 2,663/$1, but the website dollaruz.com said informal rates on the Black Market are hitting over 5,700 sum/$1.

ENDS

(News report from Issue No. 253, published on Oct. 23 2015)