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Azerbaijan and Russia prepare to make changes in agreement on oil transportation

06 September 2011 12:00 (UTC +04:00)

To him, the working group is headed by Industry and Energy Minister Natig ALiyev on the Azerbaijani side, Deputy Energy Minister of Russia Anatoli Yankovski. The working group also includes representatives of SOCAR, Azerenerji, Russiaâ€™s Inter RAO EES, Transneft and TSK EES companies.

â€œThe agreement on transportation of Azerbaijani oil through Russia, which signed in January of 1996, as well as amendments and annexes to agreement on cooperation in energy sphere signed in October of 1995 were discussed at the meeting. The first agreement offers volume, tariffs of oil transported via Baku-Novorossiysk pipe. Azerbaijani side proposes to transport at least 1.5 mln tons of oil via this routeâ€, Mansimli said.

He noted that another agreement related to cooperation in energy sphere offers to make amendments and annexes in technical and commercial direction: â€œNo concrete agreement has been reached on two agreements. Thus the working group will continue the discussions for some time. After the sides come to an agreement, the documents will be signed between the governmentsâ€.

Remind that, transportation of crude oil via Baku-Novorossiysk oil pipe by SOCAR started in 1996. SOCARâ€™s crude oil mix with oil of Russian exporters in lines system of Transneft company, Russia and is sold under Urals crude oil brand from Novorossiysk port. According to last agreement signed between the sides, Azerbaijani side intends to transport 2 mln tons of oil via Baku-Novorossiysk pipeline in 2011.

Note that, during January-August, 2011, 1.249 mln tons of crude oil was transported via Baku-Novorossiysk, 1.759 mln tons â€“ Baku-Supsa, 15.694 mln tons â€“ Baku-Tbilisi-Jeyhan pipe. Compared to July, oil transportation via Baku-Novorossiysk dropped 7%, 29.6% - via Baku-Tbilisi-Jeyhan, while grew by 3.1 times via Baku-Supsa.