Russia may increase tariff for oil pumping via Baku-Novorossiysk

Business Materials 31 March 2015 16:34 (UTC +04:00)

Baku, Azerbaijan, March 31

By Maksim Tsurkov - Trend:

Russia may increase the tariff for oil pumping through the Baku-Novorossiysk pipeline by 31 percent, said the draft order of the Federal Tariff Service (FTS) of Russia published on the portal regulation.gov.ru.

The draft said that the tariff for pumping may be increased by 149.95 roubles - from the current 484.59 rubles to 634.54 roubles per metric ton (excluding VAT).

The tariff is denominated in roubles for the route from the border of Azerbaijan to the transshipment complex Sheskharis (Novorossiysk)

The State Oil Company of Azerbaijan (SOCAR) exported 254,310 metric tons of oil via the Baku-Novorossiysk pipeline in January-February 2015 compared to 169,650 metric tons in the same period of 2014.

SOCAR exported 932,160 metric tons of oil from Novorossiysk in 2014 compared to 1.75 million metric tons in 2013.

SOCAR transships the oil produced at its own fields, as well as the oil of joint ventures and operation companies operating at Azerbaijan's onshore fields through Novorossiysk. Oil is delivered to the port via the Baku-Novorossiysk pipeline operated by SOCAR.

However, SOCAR and Russian Transneft signed an agreement. SOCAR will transport 1.7 million metric tons of oil produced by SOCAR independently onshore and offshore via the Baku-Novorossiysk pipeline in 2015 in accordance with this agreement.

Edited by CN

follow the author on Twitter: @MaksimTsurkov