Consortium to be formed on Trans Caucasus oil project
Kazakhstan, Astana, Sept.23. / Trend K. Konyrova /
It was decided to establish a consortium, which will be engaged in the development of the system of oil transporting from Kazakhstan to Baku, Managing Director of KazMunayGas, Nurtas Shmanov told journalists on Sept.23.
There will be established a consortium on the Trans-Caspian project, which would include only two companies KazMunayGaz and SOCAR. We will be prepared on the subject for the Kazakh President's forthcoming visit to Baku," Shmanov said.
The Trans-Caspian project is a part of the Kazakh Caspian Transportation System (KCTS). According to Shmanov, the Trans-Caspian project's feasibility study should be ready in the first quarter of 2010. The German company is engaged in the development of the feasibility study. The cost of the Trans-Caspian project amounts to $2.5 billion.
"Currently, the company is actively discussing the concept on tankers with Azerbaijan. We should come to a mutually beneficial solution. That tanker fleet, which is currently operating in the Caspian Sea and even new Kazakh tankers, is not suitable because of their small displacement. They can only be used in the initial stage of the project," Shmanov said.
Managing Director said members of the Kashagan consortium and KMG are still debating their participation shares in the Kazakh section of the KCTS (the Yeskene - Kurik pipeline).
Shmanov said "the KCTS project will not be completed until the issue of guaranteed supplies of oil becomes clear."
It will develop gradually, if the issue on the required oil volume is solved, Shmanov added.
Do you have any feedback? Contact our journalist at: [email protected]