Baku, Azerbaijan, April 3
By Elena Kosolapova – Trend:
Caspian Pipeline Consortium (CPC) repaid $210 million of its debt to the shareholders, the consortium said in a message April 3.
CPC signed the Loan Agreement with the governmental shareholders and producing companies as lenders in 1997. Repayment of the debt is a current priority for the consortium. CPC paid off $1.5 billion in 2015 and $1.27 billion in 2016. The remaining debt hit $4.49 billion as of the beginning of 2017.
“It is envisaged that such rate of debt repayment will enable CPC to fully repay the debt and to commence paying dividends by 2020,” the consortium said.
The CPC pipeline system (1,511 kilometers long) connects oil fields in Western Kazakhstan with Marine Terminal in Novorossiysk. CPC’s Marine Terminal is equipped with Single Point Moorings that allow loading tankers safely at a significant distance offshore and in bad weather conditions.
The shareholders of the CPC pipeline are Russia – 31 percent (represented by Transneft – 24 percent and CPC Company – 7 percent); Kazakhstan - 20.75 percent (represented by KazMunaiGas – 19 percent and Kazakhstan Pipeline Ventures LLC – 1.75 percent) ; Chevron Caspian Pipeline Consortium Company – 15 percent, LUKARCO B.V. - 12.5 percent, Mobil Caspian Pipeline Company – 7.5 percent, Rosneft-Shell Caspian Ventures Limited – 7.5 percent, BG Overseas Holding Limited – 2 percent, Eni International N.A. N.V. – 2 percent and Oryx Caspian Pipeline LLC – 1.75 percent.
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