On September 15, CPC Management held a press conference for Kazakh and international mass media in Astana. CPC General Director Nikolay Gorban and Deputy General Directors Kairgeldy Kabyldin and Mikhail Grishankov answered questions from the journalists. The main topic of the press conference was the readiness of the CPC pipeline system for receiving new volumes of oil produced in Kazakhstan.
“We hope our shippers fulfil all announced plans. As of 2016, the CPC pipeline system already has surplus capacity. We are ready to accept all additional volumes that come this year”, stressed the CPC General Director.
Currently CPC is pumping over one third of all annual oil exports from Kazakhstan. It is the most reliable and cost-effective method of crude oil transportation compared to other alternatives. The consortium has a quality bank, the only one in the region, for CPC shippers to get full value for their crude.
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%.