According to the decision of the Government of Azerbaijan on the termination of the transportation of oil via Baku-Novorossisk pipeline, the State Oil Company of Azerbaijan (SOCAR) refused to export 85,000 tons of oil which were intended to be exported via this route in January, Trend reports with reference to the SOCAR.
According to the decision by the Government, from 1 January 2007, the transportation of SOCAR oil via Baku-Novorossisk pipeline has been terminated to ensure the demand for electric power in the winter months.
The volume of oil that had to be exported will be sent to the Oil Refineries of Azerbaijan to receive mazut which is used as electric power in the electric power stations.
Nevertheless, Azerbaijan International Operating Company (AIOC) will continue to transport its oil via the Baku-Novorossisk pipeline. In January, the Company intends to export 315,000 tons of Azeri Light oil produced in Azeri, Chirag and Gunashli fields via this route.