Shareholders of the Caspian Pipeline Consortium (CPC) have decided to take out an external loan of up to $500 mln for financing CPC project expansion activities.
This loan is part of scheduled budget for project expansion amounting to $5.4bn.
CPC shareholders, having reviewed the issues of current financial and economic activity of the company, noted the progress in upgrade of operating facilities and construction of new ones on the territory of Russia that are performed ahead of schedule at certain sites.
Project management changes introduced earlier have given a certain positive dynamics to project implementation at the Kazakhstan site.
CPC is the international joint-stock company. The length of the pipeline connecting the oil fields in Western Kazakhstan with the Marine Terminal in Novorossiysk amounts to 1,511 km.
The project started 12 years ago in May 1999 in Novorossiysk.
In 2015 LukOil is planning to pump oil from from Filanovsky field via CPC pipeline. The discussions about pipeline expansion were held in 2011.
The CPC expansion project is expected to increase the pipeline capacity by39 MMT per year.
The current capacity is 28 mln tons per year. By 2015 it is planned to increase its throughput capacity up to 67 MMT per year.
The expansion project includes the reconstruction of 5 existing and construction of 10 additional pump stations (2 in Kazakhstan and 8 in Russia); the construction of 6 new oil storage tanks in addition to 4 existing ones in Novorossiysk, as well the 3rd SPM (single point mooring) at CPC Marine Terminal.
It is also planned to replace 88 km pipeline section in Kazakhstan with a larger diameter pipe.
CPC Shareholders: Russian Federation (represented by Transneft - 24% and CPC Company - 7 %) - 31 %; Republic of Kazakhstan (KazMunayGas) - 19 %; 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%, Kazakhstan Pipeline Ventures LLC - 1,75% and Oryx Caspian Pipeline LLC - 1,75%.
Rosneft, possibly, will sell its stake because the company needs to settle TNK-BP deal. Rosneft is planning to float Eurobonds for the amount of $10bn, but they are running short of money.
However, there is a nonsense in the sutation. D. Medvedev informed on November 29 that parameters of TNK–BP and Rosneft deal could be changed depending on the market conditions.
WKT citing Neftegaz.ru