OVERVIEW OF THE PAN EUROPEAN OIL PIPELINE (PEOP) PROJECT

Transcription

1 OVERVIEW OF THE PAN EUROPEAN OIL PIPELINE (PEOP) PROJECT 2 nd Oil Forum of the Energy Community 8 th 9 th November 2010 Belgrade, Serbia

2 PUBLIC ENTERPRISE TRANSNAFTA FACT SHEET - Public Enterprise founded by the Government of Serbia in Registered for pipeline transport of crude oil and petroleum products and for oil and petroleum products storage - Supplying 2 refineries with crude oil Novi Sad andpančevo - Total average transport volume app. 3 mil.t/anum (domestic production and imported crude oil) - Currently operating on a section of Adria oil pipeline(ex-yugoslav)in length of 155kmfrom Croatian border to refinery in Pančevo

3 CURRENT AND FUTURE OIL SUPPLY DIRECTIONS FROM CASPIAN REGION

4 Pipeline OPERATING OIL PIPELINES CASPIAN - BLACK SEA REGION Length (km) Diameter (inch) Capacity (MTA) Proposed upgrades (MTA) CPC 1, Baku-Supsa Baku-Novorossiysk 1, n/a TANKER TRANSPORT FROM BLACK SEA Bosporus and Dardanelles limitation - transit capacity will be outstripped Environmental Issues

5 CRUDE OIL AVAILABILITY IN BLACK SEA REGION Projected demand for crude oil and transport availabilities Current Min Projected Max Caspian Russian Total Efficiency, increase of volume and safe transportneeded needed in the Black Sea! Bosphorus- transport bottleneck optimized and with no further possibility of traffic increase; -impossible to increase tomore than 80 miliona tons alternative needed - ship collisions, sea accidents, resulting in severe pollution of the sea

6 PEOP - PAN EUROPEAN OIL PIPELINE FUTURE OIL SUPPLY DIRECTION PEOP: Constanta - Trieste (Romania, Serbia, Croatia, Slovenia and Italy) Pipeline length 1,320 km Optimal capacity estimated - 60 MTA Total cost estimated - 3 billion USD Crude oil transport from Caspian and Black Sea region Supply of 6 refineries on pipeline route Possibility for pipe-into-pipe connection with TAL and oil pipeline in Italy Solution to Bosporus problems (heavy& dangerous traffic) Avoiding pollution of Black Sea, Aegean Sea, Mediterranean & Adriatic Sea

7 BACKGROUND STUDIES - Aug 2002, HLP-PARSONS Croatian Ministry of economy received the grant from USTDA for the feasibility study for the Constanta-Pancevo-Omisalj-Trieste CPOT pipeline - Feb 2005, HILL INTERNATIONAL CONSORTIUM Romanian government received a grant from EU Phare Programme for the feasibility study for the Romanian segment of the pipeline and overall market economic study of the project -March 2005, INTERNATIONAL ADVISORY BOARD (IAB) FOR PEOP PIPELINE PROJECT PEOP Pan European Oil Pipeline Project, A feasibility study prepared for IFC and for Interstate Committee of PEOP

8 CORE MARKET FOR PEOP Industrial heartlands of Northern Italy, Germany, Austria and Czech Republic Existing Pipeline system fed from Trieste and Genoa is beingsupplied by tankers using the Adriatic and Mediterranean Seas additional LOAD/UNLOAD!

9 PEOP CONSTRUCTION PLAN Country Existing (km) Planned for building (km) Total (km) % of the total oil pipeline length Romania Serbia 60 (plus additional 85 not being considered for using) Croatia (from Melnice to SLO border) Slovenia Italy(Trieste) TOTAL

10 PEOP - PAN EUROPEAN CRUDE OIL PIPELINE Past Activities Ministerial Declaration signed by European Energy Commissioner on behalf of European Commission & by all 5 Countries (Italy, Slovenia, Croatia, Serbia and Romania); Founding of the PEOP Project Development Company registered in London, United Kingdom; Future Activities Organization of Investment Conference Organization of Investment Conference Harmonization of Countries Signatories Laws; Providing bases for technical documentation; Pre-feasibility Study, Feasibility Study, Environmental Study & Detail Design;

11 PEOP CARRYING FOR ENVIRONMENT! Reduction of pollution of Black Sea, Aegean Sea, Mediterranean & Adriatic Sea! PEOP environmental effects: - No Oil Pollution (tanker oily ballast water) - Risk reduction of accidental discharges - Preservation of sea bio diversity - Sea water quality improvement - Air and shore pollution decrease - Less invasion of non-native species Bosporus problems: - Heavy & dangerous traffic with no possibility of volume increase - Constant pollution of air, water and soil

12 TANKER TRAFFIC IN THE NORTH OF THE ADRIATIC SEA WITH PEOP REDUCTION of Tanker transport FOR APP. 50 MTA G. Sekulić, JANAF, Croatia - PEOP Strategic pipeline for Europe, Energy Conference Package, Ljubljana

13 OVERALL POSITIVE IMPACT OF PEOP 1. Preventing disruption of supply of European countries with crude oil and petroleum products at a national/regional level Council Directive 2006/67/EC; 2. Significant contribution to environment protection (land, air, seas); 3. Appropriate use of existing facilities, stranded assets, corridors and terminals; 4. Diversification of oil transport routes and creation of Base for tangible market opening and third party access (TPA) to infrastructure in order to facilitate regional trade and security between Black Sea, Mediterranean and Danube (Central Europe) markets and elevate monopolistic threats; 5. Enhanced regional cooperation and direct connection to international crude oil pipeline systems; 6. Pipe-into into-pipe connection with TAL and NIL pipelines in Italy and DRUZHBA ADRIA pipeline in Croatia

14 PEOP - PAN EUROPEAN CRUDE OIL PIPELINE PERSPECTIVE 1 - To continue with the project of Pan-European interest; - To involve of all Host Countries into the project cycle process; - To strength the role of the Interstate Committee; PERSPECTIVE 2 - To frozen the project of Pan- European interest; - To apply the interregional approach for the time being connecting Serbian and Romanian crude oil pipelines;

15 Public Enterprise TRANSNAFTA Contact details: Mr. Srdjan Mihajlovic General Manager address: Postal Address: 1, st. Zmaj Jovina, Pancevo, Serbia