Iran, Kyrgyzstan Agree in Principle on Joint Oil Refinery Project

Iran's President announced that Tehran has agreed in principle to a Kyrgyz proposal to jointly construct an oil refinery in Kyrgyzstan.

Speaking on Monday, September 9, on the sidelines of the Shanghai Cooperation Organisation and SCO-Plus summit in Kyrgyzstan, President Masoud Pezeshkian met with his Kyrgyz counterpart, Sadyr Japarov, and said Bishkek's proposal for a jointly built refinery had been reviewed favorably, with Iran endorsing the plan in principle.

He added that, if implemented, the refinery's crude oil requirements could be supplied by Iran, with the resulting petroleum products divided between the two countries. Pezeshkian described the arrangement as a valuable opportunity to deepen economic and energy cooperation between Iran and Kyrgyzstan.

The proposal comes as energy cooperation has remained a key focus for both countries in recent years, with Kyrgyzstan currently reliant on imports to meet its oil and petroleum product needs. Should the plan move forward, bilateral cooperation could expand beyond crude and product trade into joint investment, refining, technical and engineering services, and petroleum product marketing.

For his part, President Japarov welcomed the growth of economic and energy ties with Iran and invited capable Iranian companies in the oil exploration sector to bring their expertise and capacity to bear on cooperation with Kyrgyzstan.

The invitation could pave the way for greater Iranian participation in Kyrgyzstan's oil projects and for Iran's technical and engineering capabilities to be applied across various segments of the country's oil industry. - Shana