Baltic Pipeline System is to be enlarged up to 70 million tons
Enlargement of Baltic Pipeline System (BPS) up to 70 million tons is to be carried out within the framework of a program for reconstruction and modernization of long-distance pipelines of Transneft shareholding company. This information has been provided by PRIME-TASS with reference to Tramsneft. According to experts it does not need any additional decrees to be issued by the government of RF. Today the design capacity of BPS is 65 million tons, but actually large amount of oil goes to Primorsk port owing to technological optimization of the pipeline. According to the company it is also planned to construct loopings at all the sectors of pipeline from Surgut to Primorsk, reconstruction of two pipe stations and construction of one more pipe station. The program of reconstruction of long-distance pipelines implies annual investments of $1.2 milliard. According to experts, extension of BPS by 5 million tons up to 70 million tons may be finalized before the beginning of the second half of 2007. BPS project with a capacity of 65 million tons costs $2.2 milliard. Sberbank of Russia granted Transneft a credit for financing of the project implementation to the amount of 20 milliard roubles within the framework of the agreement on cooperation to a total amount of $900 million.
BPS project is focused at export transportation of oil from Timano-Pechiorskyi Region, West Siberia, Ural-Volga Region and Kazakhstan. First line of BPS, annual output of which is 12 million tons, was put into operation in December 2001. In 2003 BPS’s annual output reached 30 million tons, in spring 2004 - up to 42 million tons while by the end of 2004 – up to 50 million tons. In December 2004 RF Government approved the proposal of Russia’s industry and energy ministry and Transneft OJSC on design and construction of BPS’s third line for the system’s annual output increase up to 65 million tons of oil. All in all BPS project covered construction of 1600 linear pipelines, 17 oil pumping stations, bulk terminal, oil port in Primorsk, able to accept four tankers simultaneously with a draught of 100 thou tons each.
