DUSHANBE, July 7, 2014, Asia-Plus -- An oil refinery for production of fuels meeting Euro-4 standard will be constructed in Tursunzoda, some 60 kilometers to the west of Dushanbe.

The Tajik government reportedly endorsed a draft investment agreement between the government of Tajikistan and limited liability company, KKN-Regar, last month.

“Under this agreement, KKN-Regar intends to construct the oil refinery with annual capacity of 300,000 tons of fuels meeting the Euro-4 standard, the source said.

An estimated budget for the project is reportedly 21 million U.S. dollars and the project is expected to be finished in two years.

“As far as prices for fuels produced by the oil refinery are concerned, they will be set proceeding from domestic demand for the fuels and purchase power of consumers, and KKN-Regar commits itself to observe the country’s legislation regulating prices and tariffs,” the source added.