BAKU, Azerbaijan, September 24. Uzbekistan’s
JSC Uzbekneftegaz and Bank of China’s Japan branch have signed a
mandate agreement to refinance high-interest loans previously
raised by the Uzbek oil and gas company under state guarantees on
Sept. 23 in Tokyo.
This was reflected in the statement by Uzbekneftegaz, following
a meeting between an Uzbekneftegaz delegation led by its first
deputy chairman and representatives of Bank of China in Tokyo.
According to the information, in the course of the meeting, the
sides also agreed on the key terms of the refinancing, which is
expected to help Uzbekneftegaz manage its debt obligations more
efficiently and reduce interest expenses.
“The refinancing mechanism will contribute to more effective
management of the company’s loan obligations, reduce interest
expenses and improve the efficiency of financial resource use,”
Uzbekneftegaz said.
The discussions also covered measures to strengthen
Uzbekneftegaz’s financial position, optimize its loan portfolio and
rationalize financial expenses.
The agreement is being implemented as part of tasks set by a
coordination commission under Uzbekistan’s Cabinet of
Ministers.
Uzbekneftegaz and Bank of China also discussed potential
financing for long-term investment projects and agreed to further
expand financial cooperation, including support for prospective
projects.
The refinancing agreement comes as Uzbekneftegaz works to
improve the structure of its liabilities and reduce the financial
costs associated with existing borrowing.
