U.S. special envoy: Kazakhstan Caspian transport system project will be realized
Azerbaijan, Baku, July 28 /Trend, S.Suleymanov/
Kazakhstan Caspian Transport System (KCTS) project (Trans-Caspian system) will be implemented, U.S. Special Envoy for Eurasian Energy, Richard Morningstar said in Astana on July 28.
"The KCTS project will be implemented. This is exclusively the question of time," said Morningstar.
Given the expected volume of oil from the Tengiz and Kashagan fields in Kazakhstan, both the KCST and the Caspian Pipeline Consortium (CPC) and other pipelines will be filled in, said the U.S. special envoy.
Regarding the statement by chairman of the Board of KazMunaiGas, Kayrgeldy Kabyldin that the establishment of trans-Caspian oil transport system has been postponed to a later date, particularly to 2017, Morningstar said that "such projects are long term and in the general picture of delay, four years are not so significant for the KCST".
Kabyldin said earlier that: "About 370,000 to 450,000 barrels per day will be produced at the first phase of development of the Kashagan field. These volumes, according to experts, can easily be transported via the CPC system after the expansion, as well as the pipeline in the direction of China and the Aktau-Baku-Batumi pipeline.
Thus, he said there is no need to build another system of transportation, particularly KCST, at least at the first phase of development of the Kashagan project, which will begin in late 2012.
KCTS is established to deliver Kazakh oil is from the Kashagan field. The national oil company of Kazakhstan and Azerbaijan - KMG and SOCAR - signed an agreement on the KCST in Baku in late 2008. It must provide the initial opportunity to transport Kashagan oil via the Caspian Sea and the Caucasus to world markets in the volume of 23 million tons with a subsequent increase to 35-56 million tons per year.
Currently, a tender is conducted to define the company, which will prepare a feasibility study for Trans-Caspian transportation of Kazakh oil.