Hydrocarbon supply is the main problem determining the efficiency of economic development in kyrgzstan. The Kyrgyz Republic imports all of its oil and gas products spending an estimated US$100-120 million annually. The country is thus trying to decrease its dependence from external deliveries however, the country has little internal oil production. Predicated hydrocarbon resources on Republic are within the range of 375-765 mln. ton.

Oil-and-gas fields in the country are located in the Fergana oil and gas zone where oil production is estimated at 80 thd. ton and gas 35 thsd. ton.

Oil and gas exploration is currently being undertaken by the following companies: Joint-stock company "Kyrgyzneftegaz", State Geologic exploration Agansy, Joint-ventures and the Investment companies: "Kadima Petrolium", "KNG-Hydrocarbones", "Zhibek-Hydrocarbones", "Textonic", "Target-one", and others.

The country plans to increase production by expanding oil and gas production at Saryshtam, Sarytok, Sary Kamysh, Mailu Suu 4 and Vostochny Isbaskent fields. Kyrgyz-neftegaz, signed a general agreement with the Chinese oil corporation Shienli Gunji in March 2002, to conduct capital repair work on oil wells at the Maili-Suu IV-Izbaskent deposits. Investment over the period from 2003 to 2005 is tentatively planned at US$150 million. The Chinese company will conduct capital repairs at 40 idle wells at its own expense and will then produce oil and gas under a joint venture arrangement. At the Izbaskent deposit, the company repaired well No. N78, which had been mothballed for more than 30 years, and it gushed oil with water at a rate of 15 t/d. The well is now producing steadily, and between August 14 and December 1, 2002, it produced 418,700 t of crude oil, (Mining Journal, 2002).