Russia's state-controlled oil pipeline monopoly Transneft will invest 161.59 billion rubles ($5.69 billion) in the construction of new facilities in 2011, Transneft said on Monday.
The investment will help Transneft build 6,266 kilometers of new pipelines in 2011, the company said in a statement.
Transneft head Nikolai Tokarev earlier said the oil pipeline operator would cut its 2011 investment program to 170 billion rubles from 187 billion rubles in 2010.
The company will invest 83.937 billion rubles in the construction of the second stretch of the East Siberia-Pacific Ocean (ESPO) oil pipeline, about 19 billion rubles in the expansion of the existing ESPO pipeline, while 20.652 billion rubles will be channeled to continue the construction of the second trunk line of the Baltic Pipeline System, which will run from Unecha, a city in the Bryansk region in western Russia, to the Baltic Sea port of Ust-Luga in the country's northwest, bypassing Belarus.
Investment in the 430-km (270-mile) Purpe-Samotlor pipeline, intended to supply oil from west Siberia to the ESPO pipeline, will amount to 16.231 billion rubles, while 8.391 billion rubles will be invested in the Zapolyarye-Purpe oil pipeline in the country's northeast. Transneft estimates its overall investment in the Purpe-Samotlor pipeline at 53.048 billion rubles.
Moreover, this year the company will invest 11.024 billion rubles in the expansion of the pipeline system for oil supplies to the Tuapse Oil Refinery in south Russia with an annual capacity of 12 million tons.
The company also plans to channel 2.365 billion rubles in the construction of the Syzran-Saratov-Volgograd-Novorossiysk oil product pipeline in south Russia, part of the Yug (South) project, whose launch has been delayed several times due to the absence of a government resolution.
MOSCOW, March 28 (RIA Novosti)
