CPC pipeline to be expanded until late 2016
Baku, Azerbaijan, Apr. 26
By Maksim Tsurkov - Trend:
The expansion of the Caspian Pipeline Consortium's (CPC) transportation capacity will be completed until late 2016, said Askar Kenjekhanov, deputy director general of the Kazakh Energy Ministry's Oil and Gas Information Center.
He made the remarks during the "SOCAR International Caspian and Central Asia Downstream Conference - Trading, Logistics, Refining, Petrochemicals" in Baku.
The Caspian Pipeline Consortium is a consortium and a pipeline to transport Caspian oil from Kazakhstan's Tengiz field to Russia's Novorossiysk-2 Marine Terminal on Russia's Black Sea coast.
Kenjekhanov said that the decision on expanding the pipeline's capacity is related to the fact that oil output in Kazakhstan's Tengiz field will increase and exceed the CPC's capacity.
The CPC's transportation capacity is planned to increase up to 67 million ton per year from the current 35 million tons, he added.
The project's cost is estimated at $5.4 billion.
The CPC shipped from the Russian Southern Ozereyka-2 terminal 11.93 million tons of CPC Blend oil in 1Q2016 versus 10.98 million tons of oil in the same period of 2015.
The shareholders of the CPC pipeline with a length of 1,510 kilometers are: Transneft - 24 percent, KazMunaiGas - 19 percent, Chevron - 15 percent, LUKARCO - 12.5 percent, Mobil Caspian Pipeline Company - 7.5 percent, Rosneft-Shell Caspian - 7.5 percent, CPC Company - 7 percent, BG - 2 percent, Eni - 2 percent, Kazakhstan Pipeline Ventures - 1.75 percent and Oryx Caspian Pipeline - 1.75 percent.
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