CPC General Director Nikolay Gorban took part in the 7th Management Board meeting of the International Association of Oil Transportersl (IAOT) on May 22-23, 2017. The event took place in the capital of the Republic of Belarus, Minsk.
Members of the organization include Transneft (Russian Federation), Gomeltransneft Druzhba (Republic of Belarus), MERO ChR (Czech Republic), Transpetrol (Slovak Republic), MOL (Hungary), KazTransOil (Kazakhstan) and Chinese National Oil and Gas Corporation (People's Republic of China). Caspian Pipeline Consortium has an observer status.
In the course of the event, a bilateral cooperation agreement was signed between Transneft (CPC Government Shareholder) and Gomeltransneft Druzhba. The document will allow to significantly broaden the scope of interaction between the two oil transportation companies.
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% of and CPC Company – 7%) – 31%; Republic of Kazakhstan (represented by KazMunayGaz – 19% of 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% of and Oryx Caspian Pipeline LLC – 1.75%.