A first cargo of crude from the new Russian export terminals at Primorsk...
A first cargo of crude from the new Russian export terminals at Primorsk near St Petersburg will be exported in December this year, a spokesman for the state pipeline company Transneft said Friday. Primorsk forms the terminus of the Baltic export system, designed to provide Russia with a route to northern European oil markets that does not cross foreign territory.
For the time being most Russian oil destined for northern Europe moves out of the Latvian port of Ventspils. Initial capacity in the Baltic system will be 12-mil mt/year. During the first phase Transneft will use existing pipelines running from Yaroslavl to feed the new terminal. A section of about 250 km of new line is being built to link the Kirishi refinery north of St Petersburg with Primorsk.
Russian producers have already committed crude to the Baltic system, Transneft claims. Kazakhstan's state oil company Kazakhoil is also interested in moving 5-mil mt/year of crude through the new line. However, no written agreement has yet been signed with Transneft, according to sources at the Kazakh company.
platts.com
