BP moves into Central Asia's least explored petroleum province
For the first time, BP has planted its flag in Uzbekistan, acquiring a 40 percent stake in six hydrocarbon blocks across the Ustyurt Norte region through a production-sharing agreement with SOCAR and Uzbekneftegaz. The move is less a sudden leap than a considered step in a longer arc — one in which a major energy company seeks to balance the demands of the energy transition with the enduring pull of frontier reserves. Central Asia, long rich in geological promise but cautious toward foreign capital, now finds itself at the center of a partnership that speaks as much to Uzbekistan's reform ambitions as it does to BP's upstream strategy.
- BP's first-ever entry into Uzbekistan reshapes the regional energy map, positioning the British giant as the largest single stakeholder in a six-block hydrocarbon zone with substantial untapped potential.
- The deal required BP to purchase 20 percent from each of its two partners — Azerbaijan's SOCAR and Uzbekistan's Uzbekneftegaz — a carefully structured acquisition that preserves existing relationships while inserting new capital and expertise.
- Seismic surveys are already underway under SOCAR's operational leadership, racing to determine whether the geology beneath Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq, and Qulboy justifies the full weight of development investment.
- Uzbek officials are framing BP's arrival as a validation of the country's energy sector reforms, while BP must still reconcile its hydrocarbon expansion with its stated commitments to the energy transition.
- The project's trajectory hinges entirely on what the seismic data reveals — a reminder that in frontier exploration, confidence and capital are only the opening bid.
BP has entered Uzbekistan for the first time, securing a 40 percent stake in a production-sharing agreement covering six hydrocarbon blocks in the Ustyurt Norte region of Central Asia. The British energy company acquired its position by purchasing 20 percent from each of its two partners — SOCAR, Azerbaijan's state oil company, and Uzbekneftegaz, Uzbekistan's national petroleum enterprise. The arrangement leaves BP as the largest single stakeholder, while SOCAR and Uzbekneftegaz each retain 30 percent, with SOCAR serving as the designated operator.
The six blocks — Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq, and Qulboy — sit in a region that has long attracted geological interest but seen limited foreign investment. The original production-sharing agreement dates to July 2025, and the project is currently in its earliest phase, with seismic surveys underway to map subsurface geology and estimate recoverable reserves. The formal signing of BP's entry took place at the 2026 Uzbekistan Oil and Gas Conference in Tashkent, where BP's regional president Gio Cristofoli described the country as holding significant resource potential and expressed the company's commitment to long-term regional benefit.
Uzbek authorities welcomed the move as evidence of international confidence in the country's energy reforms and improving investment climate. For BP, the deal reflects a broader effort to strengthen its upstream portfolio while navigating the competing pressures of hydrocarbon growth and energy transition commitments. Central Asia remains one of the world's least explored petroleum provinces relative to its estimated reserves, and the results of the current seismic work will ultimately determine whether these six blocks justify advancing toward full exploration and production development.
BP has moved into Uzbekistan for the first time, taking a 40 percent stake in a production-sharing agreement that covers six hydrocarbon blocks in the Ustyurt Norte region, a zone in Central Asia with substantial reserves of oil and gas waiting to be developed. The British energy company acquired its position by purchasing 20 percent from each of its two partners: SOCAR, the state-owned oil company of Azerbaijan, and Uzbekneftegaz, the national petroleum enterprise of Uzbekistan. The deal leaves BP as the largest single stakeholder, while SOCAR and Uzbekneftegaz each hold 30 percent, with SOCAR designated as the operator responsible for day-to-day management of the project.
The six blocks under the agreement are named Boyterak, Terengquduq, Birqori, Kharoy, Qoraqalpoq, and Qulboy. They sit in a region that has long attracted international interest but has seen limited foreign investment until now. The original production-sharing agreement was signed in July of 2025, and the project is currently in its opening phase, with SOCAR directing seismic surveys designed to map the subsurface geology and estimate how much oil and gas might be recoverable from each block.
The formal signing took place in Tashkent during the 2026 Uzbekistan Oil and Gas Conference, with government officials and energy sector executives in attendance. Gio Cristofoli, BP's regional president, stated that the company views Uzbekistan as holding significant resource potential and intends to support both the exploration and eventual development of petroleum and natural gas reserves there, with the expectation of long-term benefits flowing to the region. Uzbek authorities, for their part, framed BP's entry as evidence of international confidence in the country's energy sector reforms and its investment climate.
The move fits within BP's broader strategy to strengthen its upstream business—the exploration and production side of the energy industry. The company has been working to rebalance its portfolio between traditional hydrocarbon assets and investments in the energy transition, seeking out projects with sustained growth potential. The partnership with SOCAR and Uzbekneftegaz also deepens a technical alliance aimed at improving how the three companies operate together across the region.
Central Asia remains one of the world's least explored petroleum provinces relative to its estimated reserves. Uzbekistan, in particular, has been working to modernize its energy sector and attract foreign capital after decades of limited international involvement. BP's entry signals that the company believes the country's regulatory environment and geological prospects justify the commitment of capital and expertise. The seismic work now underway will determine whether the six blocks contain enough recoverable hydrocarbons to justify moving forward to the next phases of exploration and, eventually, production development.
Citações Notáveis
Uzbekistan possesses significant resource potential, and BP intends to support exploration and development of oil and gas with long-term benefits for the region.— Gio Cristofoli, BP regional president
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Why does BP need partners here instead of going it alone?
These blocks were already under agreement with SOCAR and Uzbekneftegaz. BP couldn't just enter the country and claim them. The only way in was to buy stakes from the existing operators. It's how production-sharing agreements work in countries that want to maintain control over their resources.
So SOCAR runs the show?
As operator, yes. SOCAR makes the technical decisions, manages the budget, coordinates the work. But BP has 40 percent of the economics—they get 40 percent of whatever profit comes out. That's real leverage, even if you're not holding the clipboard.
What's actually happening on the ground right now?
Seismic surveys. Trucks with vibrators sending sound waves into the earth, sensors recording the echoes. It's the first step—you need to know what's down there before you drill anything. That takes months, sometimes a year or more.
And if they find nothing?
Then the blocks stay undeveloped and BP walks away having spent money on surveys. But the companies wouldn't have signed if they didn't believe something was there. The Ustyurt region has produced oil before. The question is whether these particular blocks have enough to make development economically viable.
Why now? Why Uzbekistan?
BP is trying to grow its oil and gas business while also investing in renewables. Central Asia is underexplored relative to the Middle East or the North Sea. Uzbekistan has been opening up to foreign investment. The timing and the geology aligned.
Does this complicate BP's climate commitments?
That's the tension BP lives with. They say they're balancing hydrocarbons with the energy transition. Critics say you can't do both at scale. BP would argue that global energy demand still requires oil and gas for decades, and they'd rather be the company developing it responsibly than ceding the market to others.