CPC guarantees efficient and environmentally safe movement of crude oil

The Project is designed to increase the trunk pipeline capacity

CPC General Director conducted unscheduled drill at CPC Marine Terminal

20180810-1-1.JPG20180810-1-2.JPG20180810-1-3.JPGOn August 9, 2018 Nikolay Gorban, General Director, visited CPC Marine Terminal near Novorossiysk where he examined the equipment of this major facility of the Consortium and also conducted snap checks of readiness of the resouerces for abnormal situations.

Having arrived to the Marine Terminal at 11:40 a.m. CPC General Director notified the emergency response personnel of a simulated oil spill in the sea during tanker loading at SPM-2.

According to the simulated incident, there was a guillotine damage of the subsea pipe of the SPM where the tanker was being loaded what led to the jeopardy of crude oil inflammation on the sea.

To respond to the emergency at sea near the Marine Terminal, the personnel of the professional rescue and emergency response teams of Transneft-Service, Lamnalco was used including 18 boats, 1,200 meters of booms, five floating tanks, and six high performance oil containment systems. To protect the shore line, seven motor vehicles, m 400 m of shore booms, seven shore tanks for temporary crude oil containment and other emertency response equipment was used.

At 15:30 at the MT Tank Farm a notification was made of simulated loss of integrity of tank #9 with oil spill in the bern and inflammation in the area of 200 square meters. The on-duty security crew came to the place of the incident in three vehicles including voluntary firefighting team. The equipment was conventionally isolated with full stop of crude oil pumping operations.. After the reconnaissance the fire trucks were parked at the tank fire water manifolds, three firefighting hoses were brought to the simulated fire, as a result, the simulated fire was extinguished.

In general, the drill was viewed positively by CPC management/ The participants acted in good coordination when deploying the emergency response equipment. The resources involved in the drill fully met the regulatory level.

In March 2018, the CPC Marine Terminal hit Delivery new record of monthly loading. Crude oil shipment volume reached 5,506,294 tons, which is almost 6% higher than the previous record of December 2017 when the monthly loading at the CPC Marine Terminal was 5,196,229 tons.

As a reminder, upon the results of 201, the number of tankers handled at the Marine Terminal has increased by almost 25% Last year 524 tankers left the SPM’s what is 89 tankers more than in 2016.

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%.