Nikolay Brunich, General Director of Caspian Pipeline Consortium, paid a business visit to the Republic of Kalmykia on July 15-.
During the visit the Consortium Head had official meetings with Alexei Orlov, Republic Head, and Igor Zotov, Chairman of the Government, in the course of which the matters of mutual cooperation were discussed. Alexei Orlov expressed the gratitude to the Company Management for the multiyear support to Kalmykia and underlined that the Company was not just implementing social projects, but “puts its heart and soul into them”. In his turn, Nikolay Brunich pointed out that as part of implementation of social programs within the Republic the Consortium would fund the reconstruction of a kindergarten building in the major repairs of Achinery, Komsomolsky District, and also in the reconstruction of the building Technical Vocational School No. 5 to turn it into a building of elementary school in Iki-Burulsky District.
CPC delegation participated in a ceremony to hand over seven ambulances to the Republic medical establishments and a modern bus to Kalmyk state song and dance company called “Tulip”. The motor vehicles were purchased using the funds allocated by the Company for a charity project.
At the end of his trip Nikolay Brunich visited CPC-R office recently opened in Elista.
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%