As part of the St. Petersburg International Economic Forum SPEF'17 taking place on June 1, 2017, Caspian Pipeline Consortium General Director Nikolay Gorban had a meeting with Deputy Prime Minister of Stavropol Krai, Minister of Economic Development, Andrey Murga. The parties discussed a wide range of issues related to cooperation between the consortium and the region.
Currently, an oil pump station (PS-5) built by Caspian Pipeline Consortium under its Expansion Project in the Stavropol Krai is getting ready to be commissioned.
"The launch of the new facilities and the upward development of capacities of the CPC oil pipeline allow the consortium not only to create new workplaces for local residents and increase tax revenues to regional budgets but also consistently implement large social programs in regions of its presence", noted Nikolay Gorban.
In his turn A. Murga expressed gratitude to CPC Management and hope for further productive cooperation for the benefit of the population of the region. Nikolay Gorban assured the minister that CPC’s policy as a good corporate citizen would remain unchanged looking forward.
Sine the time the consortium’s facilities first appeared in the Stavropol Region, CPC has been implementing various charity and community-related programs. In 2016 alone, the company allocated 145 million rubles for these purposes, and in all the years of cooperation - more than 600 million rubles.
At the beginning of 2017, a new 5-year- Cooperation Agreement was signed between the Stavropol Krai Government and Caspian Pipeline Consortium-R providing, inter alia, community-related efforts in the following areas: developing and increasing the efficiency of the industrial and transport infrastructure in the Stavropol Krai, supporting education, health care, physical education and fitness, implementing programs in the field of ecology and culture, and also rendering targeted assistance to vulnerable strata of the population in the region.
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%.