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04.08.2016 15:47

Ukraines Ukrtransnafta plans to transport up to 2 million tons of Azerbaijani, Kazakh oil

PJSC Ukrtransnafta, an operator of Ukraines oil transportation system, plans to conclude long-term contracts until late 2016 to transport 1.5-2 million tons of Azerbaijani and Kazakh oil via the Yuzhne Marine Terminal (the Southern Marine Terminal, Odessa province), Ukrainian media reported citing the companys letter addressed to the countrys Cabinet of Ministers.

Ukrtransnafta requested from the Cabinet of Ministers to cancel the order 1483 dated Sept. 30, 2009 the norm on the need to coordinate all commercial operations with process oil with the government.

Currently, process oil of different types (Urals, Azeri Light, oil from Ukrainian fields) is being used in different parts of the main oil pipelines system that are significantly different for their physical and chemical properties and cost, said the company in its letter.

In order to start the transportation of other kind of oil via the pipeline, Ukrtransnafta must displace the existing sort.

Earlier, Ukraines Ministry of Infrastructure approved the 75-percent discount for the entrance to the Yuzhne port of oil ships for transit, including via the Odessa-Brody pipeline.

Odessa-Brody oil transportation project aimed at diversification of oil supplies to Ukrainian refineries and the development of the countrys transit opportunities. Odessa-Brody pipelines construction was completed in May 2002.

The capacity of the oil pipeline and the terminal is 9-14 million tons of oil per year.

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