CPC Management has a meeting with Chevron delegation at St. Petersburg International Economic Forum SPIEF-17 on June 1, 2017.
The following persons participated in the meeting:
from CPC: CPC General Director Nikolay Gorban, Deputy General Directors Mikhail Grishankov and Kairgeldy Kabyldin, CPC Operations Consultant Dennis Fahy;
from Chevron: Andrew McGrahan, CPC-R Board Chairman, President of Chevron Neftegaz Inc., Michael K. Wirth, Vice Chairman of the Board and Executive Vice President, Midstream and Development, Chevron, Jay R. Pryor, Vice President, Business Development, Chevron.
In the course of negotiations, the parties discussed a wide range of matters of the interaction between the Companies, and the prospects of cooperation development in view of the increase of the throughput capacity of Tengiz-Novorossiysk pipeline system after the completion of CPC Expansion Project.
It was also noted at the meeting that Chevron was one of the major Shareholders of the Consortium and major Shipper of crude oil transported by CPC pipeline system.
For reference.
CPC pipeline system is one of the largest investment projects in the energy industry with participation of foreign capital on the CIS territory. The length of the pipeline connecting the oil fields in Western Kazakhstan with the Marine Terminal near Novorossiysk is 1,511 km. CPC Marine Terminal is equipped with single point moorings which allow for safe tanker lifting at a considerable distance from the shore, also when the weather conditions are unfavorable.
The Expansion Project includes rehabilitation of 5 existing and construction of 10 additional pump stations (2 in the Republic of Kazakhstan and 8 in the Russian Federation), six new storage tanks (100,000 cu.m each) in addition to the existing four near Novorossiysk and a third SPM at the CPC Marine Terminal, and also the replacement of an 88 km pipeline section in Kazakhstan with a larger diameter pipe. The total amount of the Project investments will be US$ 5.4 billion.
CPC Shareholders: Russian Federation (represented by Transneft – 24% and CPC Company – 7 %) – 31%; Republic of Kazakhstan (represented by KazMunayGaz – 19% and Kazakhstan Pipeline Ventures LLC – 1.75%) – 20.75%; Chevron Caspian Pipeline Consortium Company - 15%, LUKARCO B.V. – 12.5%, Mobil Caspian Pipeline Company – 7.5%, Rosneft-Shell Caspian Ventures Limited – 7.5%, BG Overseas Holding Limited - 2%, Eni International N.A. N.V. - 2% и Oryx Caspian Pipeline LLC – 1.75%.