The meeting chaired by Transneft CEO Nikolay Tokarev was held on April 28, 2917. Maxim Grishanin, Company First Vice President, Vice Presidents Sergey Andronov, Boris Korol, Alexey Sapsay, Chernomortransneft General Director Alexander Zlenko, Transneft system companies’ Heads also participated in the function.
The objective of the Yug project implementation is to ensure transportation of diesel fuel by pipeline transport at the Samara - Volgograd - Tikhoretsk - Novorossiysk section with delivery to the port of Novorossiysk of up to 11 M tons per year. Construction of pipelines 1,343 km long and reconstruction of 19 pump stations are planned as part of the Project.
The Project will be implemented in three stages - Yug-1, Yug-2 and Yug-3 with gradual commissioning of the facilities by 2020.
FYI:
The CPC pipeline system is one of the largest investment projects with foreign capital in the energy sector in the CIS. The length of the pipeline connecting oil fields in Western Kazakhstan with the Marine Terminal in Novorossiysk is 1,511 km. CPC’s Marine Terminal is equipped with Single Point Moorings that allow to load tankers safely at a significant distance offshore, including bad weather conditions.
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% and Oryx Caspian Pipeline LLC – 1.75%.