"TRANSNEFT" HAS THOUGHT OFF, HOW UNLOAD STRAITS OF BOSPORUS AND DARDANELLES

 The Chief of the Russian pipeline monopoly "Transneft" Mr Semen Wainshtock has thought off, how to unload the Turkish straits Bosphorus and Dardanelles from tanker caravans shipped by the Russian oil.

BAKU.20.02.2004.MEDIA-PRESS: The Chief of the Russian pipeline monopoly "Transneft" Mr Semen Wainshtock has thought off, how to unload the Turkish straits Bosphorus and Dardanelles from tanker caravans shipped by the Russian oil. Speaking on the oil week in London, the President of "Transneft" said to journalists that the company would be ready to build pipeline in Turkey parallel to the straits.

As it is known, long time ago Bosporus and Dardanelles have been the most "narrow place" at oil transportation from the Black Sea to the Mediterranean and further to the world markets. And in the days, when storms emerge here they become really impassable and this causes delays of ships and significant losses of exporters. Even Azerbaijan delivering monthly only 5 - 6 tankers by this route (form Novorossisk and the Georgian port Supsa) was forced to overpay $3.5 - 4 MM for staying idle of each tanker. Certainly, losses of the Russian exporters operating with ten million tons of oil are larger. So, by data of the Ministry of Energy of Russia, in 2003 62 MM tons of the Russian oil have passed through straits and almost 77 MM tons taking the CTC's oil into account. This is by 25% more than in 2002. Mr. S. Vainshtock has declared to journalists that "Transneft" would be ready to contribute, though this problems should be solved on governmental level. By his words, the company considers a possibility of construction of 193 km pipeline roundabout of straits. And he refused of detailed commentaries. By the information of "Oil Export", the question is about the oil pipeline Kiyikey - Ibrikhaba on the territory of Turkey. The dwelling point of Kiyiiey is in the Black Sea and will accept receive tankers up to 150 000 t and Ibrihaba in Egey Sea, where will ship tankers by 300 000 tons. By data of the jounal the cost of the project is estimated by $913 MM taking port terminal into account.

The source close to "Transneft' has performed to the Russian periodical "Vedomosti" that Mr. S. Vainshtock had meant just this project. Officials of the company refused of commentaries. Other source close to the company thinks that "Transneft" could finance the project independently in account of credit allocations. By estimation of the interlocutor of "Vedomosty" about half a year wil be spent for the construction of the pipeline and the pipe will be repaid already a year and a half. "The attraction of credit will bring to transportation tariff increase, - the official of the Federal Energy Commission of the RF has said. This will significant increase of tariff, but not in times, because rates for credit redemption are included in it. The General Director of the Shipping company "Sovkomflot" Mr. Dmitri Skarga says that in a case of realization of this project the ship owners and oil workers will win. "On the peak of jams in the straits tankers stay idle for 20 days and cargo owners loose approximately $12 from each ton of oil and the pipeline helps to escape staying idle and this is profitable for oil workers even taking necessity of paying out for two additional reshipment in ports.

The ship owners would be able use fleet more effectively separated by two puls - in the Black Sea (tankers up to 150 000 t) and the Mediterranean (300 thou), he believes. Oil workers welcome the idea of "Transneft" as a whole. Any effort to create route roundabout of the Turkish straits is a good idea, - the official of press service of TNK-BP sais. Officials of "LUKoil:" agree with this, however call Murmansk project as alternative. Officials of "Sibneft" did not comment the offer of Mr. S. Vainshtock. By opinion of analysts, the realization of the project will depend form the political factors. All will depend on political decision, intension of government to construct oil pipeline on the territory of Turkey",- Mr. Steven Dashevski from investment company "Aton" says.

Mr Sergey Suverov from the bank "Zenit" agrees with him. "Position of both the countries - Russian and Turkey is important; intergovernmental agreement would be required", - he notes. At the same time he considers the project "Burgas (Bolgaria) - port Alexandroupolis (Greece) more profitable: LUKoil had been planning to realize it.

"Risks in Turkey are larger, including political ones", - Mr. Suverev emphasizes. And Mr. Valeri Nesterov from the investing company "Troika Dialog" considers that ecological problem would emerge during the construction of the pipeline. For the present offers of "Transneft" have not been delivered to the Russian government and officials carefully accepted the idea of the construction of the pipeline in Turkey. "The construction of property out of customs territory of Russia is problematic and not always true", - official of the MED of the RF thinks. By his opinion, it is more profitable for "Transneft" to participate in the Murmansk project. He believes that Turkey will demand unprofitable conditions to Russia. Other state official also considers that the project of the construction of oil pipeline in Turkey carries more political risks than "Burgas - Alexandroupolis". Officials of the MED of Turkey refused of commenting the project of "Transneft" to "Vedomosti"