OREANDA-NEWS. Representatives of CESKA RAFINERSKA, a.s, and MERO CR, a.s. have concluded a new contract adjusting the conditions for the transportation of crude oil into the Czech Republic. The contract on storage and transportation of crude oil via the IKL and Druzba pipelines enters into validity on 1 January 2016. The both sides further extended its negotiations on a new transportation tariff for supplies through pipelines Druzba and IKL till March 31, 2016.

"The concluded contract, which takes into account the interest of both sides, is an important step towards improving our raw material security and normalizing the mutual relations between Ceska rafinerska and Mero".- says Marek Switajewski, Unipetrol CEO and Chairman of the Board. "It's a positive outcome of long negotiations which started already in 2010 and which, I believe, will soon successfully come to an end once the transportation tariffs are agreed."

After the recent conclusion of the contract amendment with Transpetrol, which operates the Druzba pipeline in Slovakia, the Unipetrol Group now has fixed the long-term conditions for transportation of crude oil into the Czech Republic.

Ceska rafinerska and Mero have additionally committed to continue in negotiations on a new transportation tariff which should be applied during 2016. The contract was concluded for an indefinite period of time.

The Druzba pipeline is used to transport oil from the Russian Federation to the Litvinov refinery, owned by Ceska rafinerska. The part of the pipeline which lies in the Slovak Republic is managed by Transpetrol, a.s. The IKL pipeline is used to supply the Kralupy nad Vltavou refinery. The total processing capacity of both refineries amounts to about 8.7 million tons of crude oil per year.