Rosneft and Transneft to construct pipeline offshoot to Komsomolsk refinery

Rosneft and Transneft signed a long-term Tariff Agreement as part of their joint project to construct a pipeline offshoot from the East Siberia – Pacific Ocean (ESPO) trunk pipeline to the Komsomolsk Refinery.

The offshoot design and construction will be financed by Transneft by means of the long-term tariff to be paid by Rosneft under the Agreement. The document was signed in elaboration of the 2012 Rosneft-Transneft Agreement for the joint construction of an offshoot to the Komsomolsk Refinery.

The Agreement provides for the design and construction of a pipeline offshoot to the Komsomolsk Refinery (with external power supply facilities included) with an annual capacity of up to 8 mln tons of oil.. The long-term Tariff is scheduled to remain effective for 36 calendar months.

The pipeline offshoot is intended to meet the requirements of crude transportation to the Komsomolsk Refinery, which is located in Komsomolsk-on-Amur. Rosneft will also supply up to 8 MTA into Transneft’s trunk pipeline system to be delivered to the Komsomolsk Refinery.

Most of the crude for the Komsomolsk Refinery is currently being delivered by the railway service. The pipeline will provide steady and secure supplies of growing crude volumes to the refinery.

The pipeline offshoot will be built as part of the Transneft long-term systemic policy to develop a system of trunk pipelines as set out in the General Scheme for the Development of the Oil Industry in the Russian Federation and as part of a large-scale Rosneft refinery modernization program aimed to increase the volumes of high-quality product output.

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