Caspian Pipeline Consortium is one of the sponsors of the Kazakhstan Energy Week – 2023 / XVth KAZENERGY Eurasian Forum, held on October 3-6, 2023 at the EXPO Congress Center, Astana.
The event has been staged since 2006 with the support of the RK Energy Ministry, RK Ministry of Foreign Affairs and other state authorities, it is an important international function in the energy sector of the Caspian and Central Asia regions. The Forum is a traditional attraction for more than 2.5 thousand delegates from more than 300 companies, representing more than 50 world countries. Over many years, its guests have been top managers of major producing companies, energy and political institutions, analytical centers and world-renowned experts.
On the 4th of October, within the framework of the Kazakhstan Energy Week, CPC-K organized a round table “Transportation of Hydrocarbons in the Changing World”. One of its speakers Kairgeldy Kabyldin, Deputy General Director, CPC-K told about a consistent and systematic work of the international consortium staff on the development and reliability enhancement of the Tengiz-Novorossiysk oil transportation route. In 2023, CPC reached for the first time the mechanical throughput of 83 million tons of crude oil per annum.
An important stage in the Debottlenecking Program (DBNP) was commissioning in 2003 of a new crude oil quantity and quality measurement system (LACT meters). This allows, if necessary, to load crude oil into tankers concurrently from three single point moorings with the maximum capacity of 33 thousand m3/hour.
According to the forecasts, the crude oil transshipment volume this year may reach 63.7 million tons, thus breaking the 2019 record, when 63.3 million tons of crude oil were dispatched for export.
In his speech, Kairgeldy Kabyldin noted that from the year start till the 3rd of October the Marine Terminal (MT) loaded about 48.2 million tons of crude oil into 441 tankers. Last month, the Company handled 48 tankers, exceeding the September loading plan by 211 thousand tons. “And if compared to September 2022, CPC shipped via MT in the said period 1.4 million tons of crude oil more” – he underscored.
In July 2023, the Consortium paid out for the first time the dividends separately to the CPC-K Shareholders in the Republic of Kazakhstan. Taking into account the already approved payout amounts by the 2022 results, a forecast value of the dividend final payouts for CPC-K and CPC-R in 2023 will constitute USD 1.34 billion.
Regarding the plans for the CPC pipeline system reliability enhancement, Kairgeldy Kabyldin stated: “In 2026, we shall start replacing the two single point moorings, which have been in operation since 2001".
It should be noted that earlier it was reported about the possibility of manufacturing in Russia the necessary equipment to replace the SPMs.
Dynamic progressive advance and financial stability make it possible for CPC to implement consistently the charity programs aimed at supporting the healthcare, culture and education, as well as developing the infrastructure in the Atyrau Region of the Republic of Kazakhstan. The annual allocations of the Consortium for these purposes exceed USD 3 million.
Among the recent major charity projects of CPC are construction of a Family-Type Children Village and a Youth House, which were opened in 2021. In 2022, construction started of a school for 900 students in the Talgairan micro-district. All in all, in the period from 2001 to 2022, CPC-K allocated for the charity projects more than KZT 12 billion (over USD 28 million).
When answering the questions, Kairgeldy Kabyldin summarized that the Consortium had come a long way, being now an important part of the world energy security. Via this safest, logistically proven and cost effective route, the Company supplies to the world markets about 80% of the Kazakhstan crude oil export.
For information:
The CPC Pipeline System is one of CIS largest energy investment projects that involves foreign capital. The length of the Tengiz – Novorossiysk pipeline is 1,511 km. This route moves over two thirds of all Kazakhstan export oil along with crude from Russian fields including those in the Caspian region. CPC Marine Terminal is equipped with three Single Point Moorings (SPM), allowing tankers to be loaded safely at significant distance offshore, including in poor weather conditions
CPC Shareholders: Federal Agency for State Property Management represented by Transneft (trustee) – 24%, CPC Company – 7%, KazMunayGas – 19%; Kazakhstan Pipeline Ventures LLC – 1.75%, 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%, and Oryx Caspian Pipeline LLC – 1.75%.