OREANDA-NEWS. A working meeting between V. Putin, the President of the Russian Federation, and N. Tokarev took place, where the Head of TRANSNEFT reported on the Results of the Company's work for the year 2012.

In particular, N. Tokarev informed that in 2012 the Company increased the volume of oil transportation by the system up to 480 million tons. Therefore, the pipeline monopoly increased the oil pumping by 1.9 per cent compared with the year 2011, as the Company had planned. “In total the Company’s system accepted 480 million tons of oil”, N. Tokarev said. “We consider the previous year to be very fortunate for the Company, as all of our planned targets of production activity as well as financial and business activity were over-fulfilled”, the Head of the Company noticed.

According to his report, one of the major projects of the year 2012 – ESPO-2 oil pipeline – was put into commission 9 months earlier than it had been planned. The Head of TRANSNEFT informed that in total into realization of the project were involved 23 thousand people, about 8 thousand new working positions were created. N. Tokarev mentioned that the average wages in the Company reached 67.6 thousand RUR in 2012.

At the meeting there were in detail discussed investment plans of TRANSNEFT. Mr. Tokarev said that the volume of the Company’s investment program varies every year from 160 billion to 180 billion RUR. “We have made provisions of such resources for the nearest three years, to secure both the investment program and also building of a new oil product pipeline in prospect”, he said. “Realization of such large-scaled investment programs definitively reflects on all the economics of the whole country, because you, by placing your orders, make busy not only pipeline industry, but also metallurgical industry, and subsequently mineworkers”, V. Putin remarked and encouraged to thoroughly coordinate this work with the Ministry of Economic Development and Trade of the Russian Federation. “Everything has already been calculated, coordinated, and pipe manufacturers know about everything; they also synchronize their plans with ours regarding output of products”, Mr. Tokarev assured.

Further Nikolay Tokarev reported that TRANSNEFT and ROSNEFT Companies would cooperatively sponsor building of a pipe branch from ESPO oil pipeline to “Komsomol’sky” oil processing plant. “We plan finishing building of the pipe branch to “Komsomol’sky” oil processing plant before the year 2016. For the date we have already coordinated with ROSNEFT Company the variant of financing. It would be a co-financing. And I believe we will take our efforts to finish this project within two years. This is 350 kilometers of a linear part, and extra 7 million tons of oil shall be delivered to “Komsomol’sky” plant also by pipe”, N. Tokarev said. In addition, the Head of the Company reported to the President, that TRANSNEFT is already terminating projecting works on a future oil pipeline from Yurubcheno-Tokhomskoye oil field to ESPO, and the Company plans to start its building as early as in summer this year. “One of the most significant and large-scaled directions (which are also stipulated by TRANSNEFT’s investment program) is building of a trunk oil pipeline to the region of Yurubcheno-Tokhomskoye and Kuyumbinskoye oil fields. This is a new oil-bearing province, which is a very promising one. In the previous year we finished all the scope of design and survey works, prepared all the necessary materials. By now, projecting comes to an end, and I believe we shall have started field works by June and begin realization of this very project. This is 750 kilometers of a linear part. Oilmen will get a possibility to transport oil from that region in a volume of 15 million tons. This is a very solid and significant addition”, Mr. Tokarev said.

The President of TRANSNEFT informed that it is planned to finish building of “Polar Region – Purpe” oil pipeline by the year 2016. “According to affirmations of our oilmen from that region, we shall be able to transport 45 million tons of oil annually. It is notable that we will have a possibility to feed oil to the both directions: westwards and eastwards. Fifty six kilometers of the oil pipeline have already been built by now. By the year 2016 all the three stages of the project (this is 450 kilometers length) will have been done. The first stage is in full pelt now”, N. Tokarev reported.

The President of the Russian Federation inquired how the new ESPO oil grade delivered by ESPO pipeline is received at the oil market. N. Tokarev answered that ESPO oil grade leaves behind the Dubai oil grade by its qualitative characteristics and this new oil grade is of significant demand at the oil market. “China buys about 40 per cent, 30 per cent goes to consumers from the USA, Japan, Singapore, even from Peru, we had customers even from there by the way. In the current year we are planning to increase the volume of oil transportation to Koz’mino direction and transshipment through Koz’mino up to 21 million tons”, he said. V. Putin emphasized that it is vital not only to increase volumes of export, but also to increase uploading of native oil processing enterprises.