• 2021 February 26 11:42

    CPC system to transport 67.5 mln tons of crude oil in 2021

    In 2020, CPC pipeline system oil throughput exceeded 59 million tons of crude oil

    On 25 February 2021, Nikolay Gorban, CPC General Director, speaking in the Company’s Moscow office, answered questions from Russian and international media correspondents. The conversation with the journalists covered CPC’s performance results in 2020 and prospects for 2021, as well as of other issues related to the Company's current activities, CPC says in its press release.

    Opening the press conference, the Consortium’s General Director highlighted that the current year, 2021, is an anniversary for CPC. 25 years ago, on 6 December 1996, a Shareholder Agreement was signed that formed the Consortium in its present form. Also this year, it will be 20 years since the CPC pipeline system started to be filled with crude oil from the Tengiz field and 20 years since the first tanker was loaded at the CPC Marine Terminal in Novorossiysk.

    CPC finished 2021 with a base revenue of 2.1 billion in equivalent US dollars. The company’s profit before tax totaled USD 871,200,000, net profit after tax - USD 630,100,000. CPC paid USD 154,900,000 in tax payments into Russia’ s budget and USD 86,200,000 into Kazakhstan's budget.

    The Consortium’s General Director stated that owing to its stable financial performance CPC had fully repaid the shareholder loan last year by paying out its last portion equal to USD 990 million. In May 2021, CPC is going to start paying dividends on shares as planned - they will start to be calculated back since the forth quarter 2020.

    In 2020, CPC pipeline system oil throughput amounted to 59,027,273 tons of crude oil. That is approximately 4,000,200 tons less than in 2019. The reductions in throughput and loading are directly connected with a number of objective interrelated factors: COVID 19 pandemics, OPEC+ crude oil production restrictions, significant business recession in the world and, as a consequence, reduction in world market demand for energy resources.

    The CPC Marine Terminal loaded 572 tankers in 2020 (597 in 2019). All received shipper nominations were met and CPC steadily held the first place of cargo terminals in Russia throughout 2020, according to the TASS rating.

    Based on last year’s performance results, CPC and contractor personnel achieved over 27 million hours without recordable injuries and incidents and about 80 kilometers run by vehicles without recordable MVAs. These significant results come as a result of CPC’s introducing a “zero injury” concept and gradually deploying a Safety Culture.

    The composition of crude oils included in the CPC Blend remains constant. API density trends for actual export deliveries of the CPC Blend CPC has made at the terminal in Yuzhnaya Ozereevka over the past five years on average have values within the 46.2-46.7 degrees API range.

    In 2020, the CPC Blend had the following average values: gravity - 46.7oAPI, sulfur content - 0.54% mass.

    In 2021, based on available shipper nominations, the CPC system is planned to transport 67.5 mln tons of crude oil. However, the Consortium is ready to meet all of the shippers’ needs, given its growing technical capabilities.

    The CPC General Director highlighted that DBN execution was on schedule. The construction of new facilities is starting under the program at the Consortium's pump stations and Marine Terminal in March 2021.

    In 2021, under the DBN program, it is planned to complete designing the main scope in Russia and Kazakhstan, to complete deliveries of all main long-lead equipment items, and to mobilize contractors to DBN sites in Russia and Kazakhstan. Also, after the contractors complete all permitting steps, the 2020 plan is to complete the full “zero cycle” (groundwork) scope.

    Nikolay Gorban reminded that the budget for the Debottlenecking Program had been approved on 19 May 2019 at USD 599.9 million. With the completion of the DBN in 2023, the Tengiz-Novorossiysk pipeline system will reach a throughput capacity of at least 72.5 mln tons of crude oil per annum out of the Republic of Kazakhstan and about 80 mln tons in total for the oil pipeline.

    In total, in 2021, CPC is going to spend USD 232.7 mln on the DBN Program, including USD 159.4 mln in Russia and USD 73.3 mln in Kazakhstan.

    The CPC pipeline system is one of the largest investment projects with foreign capital in the energy sector in the CIS. The length of Tengiz-Novorossiysk pipeline is 1,511 km; more than two thirds of all export crude oil from Kazakhstan and crude oil from the Russian fields, including those in the Caspian Region, are transported by this route. CPC Marine Terminal is equipped with three Single Point Moorings (SPM) that allow to load tankers safely at a significant distance offshore, also in poor weather conditions.

    CPC Shareholders: Russian Federation (represented by Transneft – 24% and CPC Company – 7%) – 31%; Republic of Kazakhstan (represented by Kazmunaygaz – 19% and Kazakhstan Pipeline Ventures LLC – 1.75%) – 20.75%; Chevron Caspian Pipeline Consortium Company - 15%, LUKARCO B.V. - 12.5%, Mobil Caspian Pipeline Company – 7.5%, Rosneft-Shell Caspian Ventures Limited – 7.5%, BG Overseas Holding Limited - 2%, Eni International N.A. N.V. - 2% and Oryx Caspian Pipeline LLC – 1.75%.

2021 April 16

14:25 New rail cargo volumes to and from Stockholm Norvik Port
14:06 Navigation season 2021 opens in Saint-Petersburg
13:12 GTT upgrades its NO96 technology to further reduce the guaranteed Boil Off Rate
12:40 IMO asked to include industry standard on in-water cleaning in its on-going work
12:05 Valenciaport traffic up in March 2021
11:47 Consolidated marine container throughput of Global Ports declined 5.9% in Q1’2021
11:26 Tuapse Sea Commercial Port increased its throughput by 9% in 3M’2021
11:05 The newest ocean cruise ship “Viking Venus” delivered in Ancona
10:34 Rosterminalugol’s coal exports in 3M’21 totaled 6.05 million tonnes
10:12 Crowley begins use of biofuel to power tug Veteran
09:50 Finnish Government proposes amendments to Water Traffic Act
09:27 Oil prices are slightly up
09:09 Baltic Dry Index as of April 15

2021 April 15

18:45 The UAE aims to attain the No. 1 status in Global Food Security Index by 2051
17:58 Public Ferry Terminal in Gdynia to be completed in June
17:35 Tidewater chooses Topsoe’s HydroFlex™ and H2bridge™ technologies for renewable diesel production
16:57 Black Sea Fleet ships go to sea as part of a control check during the winter training period
16:40 Flex LNG and Cheniere enter into time charter party agreements
16:09 Jumbo Shipping and SAL Heavy Lift launch Jumbo-SAL-Alliance
15:44 Wärtsilä caps record-breaking year with scrubber order at Japan Marine United shipyard
15:32 ViaSea Shipping AS based in Norway launches its branch office in Gdynia
15:14 DNV awards world-first Smart notation to CMHI’s offshore rig
15:08 Bunker Weekly Outlook, Week 14, 2021
14:57 The company of the Riga Port produces world-class aluminum high-speed boats
14:36 Servicing Capesize vessels in the port of Riga facilitates access to new cargo and distant markets
14:31 Trafigura to co-sponsor development of MAN Energy Solutions ammonia engine
14:14 NextDecade and Mitsubishi Heavy Industries America sign ESA for carbon capture at Rio Grande LNG project in Texas
13:53 BHP, Oldendorff and GoodFuels successfully complete first trial with biofuel supplied in Singapore
13:35 Sparta III delivered cargo for construction of airfield in Arctic
13:13 UECC floats first of three LNG battery hybrid PCTCs
12:59 Cargo transit potential of Northern Sea Route estimated at several million tonnes per year
12:30 Seaports of Okhotsk Sea and Tatar Strait increased their throughput by 15% in 3M’21
12:11 DEME Offshore and Penta-Ocean establish JV to develop Japan’s offshore wind industry
11:41 Panama Canal Authority postpones planned price hike following calls from shipping industry
11:29 Atomflot estimates technical readiness of icebreaker Sibir at 88%
11:07 Georgia Ports Authority orders 28 Konecranes container cranes as larger ship traffic grows
10:34 BHP, Oldendorff and GoodFuels successfully complete first trial with biofuel supplied in Singapore
10:17 Traffic along the Northern Sea Route may become year-round in the near future – Vladimir Putin
10:16 Damen Shiprepair Amsterdam readies HNLMS Evertsen for voyage to Japan
09:52 Advanced technologies for HES waterproofing, repair and corrosion protection to be discussed at online webinar on April 27
09:33 Oil prices start decreasing after a period of growth
09:15 Baltic Dry Index as of April 14

2021 April 14

18:14 Stockholm Exergi orders Agilon automated warehouse solution from Konecranes
17:41 Throughput of Kaliningrad port in 3M’2021 fell by 13% Y-o-Y
17:41 Alblasserdam’s Container Transferium gets ready for further growth
17:12 ABS publishes guidance on shipping power and propulsion decarbonization technologies
16:53 Throughput of port Vyborg in 3M’2021 rose by 47% Y-o-Y
16:30 The Korean Register publishes technical report for ammonia fueled ships supporting the commercial adoption of ammonia as ship fuel
16:14 Throughput of port Vysotsk in 3M’2021 fell by 5% Y-o-Y
15:56 Throughput of port Primorsk in 3M’2021 fell by 22% Y-o-Y
15:32 GTT receives an order from Hudong-Zhonghua Shipbuilding (Group) Co. Ltd. for the tank design of a new LNG carrier
14:47 Omsk River Port to arrange pilot voyage for grain exports to China by Irtysh river this year
14:25 ABS joins SOFC4Maritime fuel cell development JDP
13:43 Krasnoye Sormovo shipyard launches RSD59 ship Nikolai Leonov built for Alfa LLC
13:22 Wärtsilä signs an agreement with NYK and MTI to evaluate Expert Insight predictive maintenance service
12:59 Port of HaminaKotka throughput in 3M’20201 fell by 2.3% YoY
12:20 Port of Oakland imports up 45 percent in March 2021
12:06 Port of Ust-Luga throughput in 3M’2021 fell by 5% Y-o-Y
11:34 FESCO and NtechLab to collaborate in digital field
11:10 Grimaldi Group buys five ro/pax vessels and two terminals in the ports of Valencia and Barcelona from Armas Trasmediterránea Group