Russia Premier Opens New Eastern Oil Export Terminal

A new eastern oil terminal at Kozmino in Russia has been inaugurated by Prime Minister Vladimir Putin. The picture shows the initial stages of construction. Photo by panoramio

Russian Prime Minister Vladimir Putin has on Monday officially opened a new oil export terminal near the far eastern Russian port of Nakhodka.

The Kozmino terminal will export oil from new fields in east Siberia, where Russian companies are developing one of the world’s last untapped oil resources.

The terminal will eventually be connected to a EUR 15 B pipeline to China and the Pacific Coast, thereby allowing Russia to re-direct a large part of its oil output to the east, rather than remaining focused on the west.

Transneft, the Russian pipeline monopoly, completed the first section of the pipeline in November. It runs for 2 750 kms from Taishet in the Irkutsk region to Skovorodino near the Chinese border.

The oil is then transported the remaining 2 100 kms by rail to Kozmino. This link will be phased out by 2012 with the completion of the entire pipeline.

Meanwhile, Transneft is constructing a short pipeline from Skovorodino to China, to allow the flow of up to 300 000 barrels of oil per day from late 2010.

Russia has accepted a USD 25 B loan from China in exchange for future oil deliveries, thus strengthening its energy trading position with the world’s fastest-growing consumer of oil.

We need your support so Novinite.com can keep delivering news and information about Bulgaria! Thank you!