The investments into the project totaled RUR 7.6 Billion
A ceremony was held at CPC Marine Terminal near Novorossiysk on 15 July 2023 dedicated to construction completion of a new lease automatic custody transfer (LACT) under the Debottlenecking Program (DBNP), according to CPC. The ceremony was attended by Nikolay Gorban, CPC General Director, Vyacheslav Shapochnik, Acting Minister of Fuel and Energy Industry and Housing and Public Utilities in Krasnodar Krai, Andrey Kravchenko, Head of Novorossiysk Municipality, Feognost, Bishop of Novorossiysk and Gelendzhik and other officials. Kresimir Filipovic, Vice President of Construction Contractor Velesstroy LLC, ceremoniously handed over the symbolic key of the facility and the final package of documents for LACT metrological registration. Thereafter the facility will be put in operation and will perform custody transfer metering of oil moved by CPC Pipeline System.
Construction participants received honorary mentions, letters of commendation and commemorative badges from Krasnodar Krai Governor and CPC.
The goal of Debottlenecking Program is to increase the throughput of Tengiz-Novorossiysk pipeline to 85,1 MTA and to raise reliability and operability of the pipeline system. The new LACT system consisting of three units and a total of 12 metering runs is located in the end point of CPC pipeline system and is intended for custody transfer metering at the time of oil lifting to the tankers.
LACT construction began in 2021. Over 80% of Russian-made equipment was used for construction of the LACT meter. The investments into the project totaled RUR 7.6 Billion from the overall RUR 29 Billion budget of the Debottlenecking Program in Russian Federation. Over the period of construction, over 43 Contractors and Subcontractors engaged 1500-strong manpower, with over 300 people present at the construction site simultaneously, mostly representing Krasnodar Krai.
The Contractors moved 155 K m3 of soil and rock, erected over 550 tons of steel structures, laid 145 km of cable and wire products. The scope of concrete works was 7.5 K m3.
New LACT construction will allow for the old system to be dismantled, leaving room for construction of a third surge relief station similar to the existing ones. This will allow CPC to lift oil from three single point mooring units (SPMs) simultaneously, if needed. In particular, this will help raise oil lifting after forced oil lifting standby due to stormy weather conditions in spring and fall.
CPC Pipeline System is one of the major investment projects with foreign capital in energy sector in the CIS. The length of the Tengiz – Novorossiysk pipeline is 1,511 km. This route transports over two-thirds of all Kazakhstan export crude, as well as crude from Russian oil fields, including those in the Caspian Region. CPC Marine Terminal is equipped with three Single Point Moorings (SPM) that allow safe loading of tankers at a significant distance offshore, also amid poor weather conditions.
CPC Shareholders: Federal Agency for State Property Management represented by Transneft (trust management) – 24%, CPC Company – 7%, KazmunayGas – 19%, Kazakhstan Pipeline Ventures LLC – 1.75%, 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. S.ar.l. – 2% and Oryx Caspian Pipeline LLC – 1.75%.