OREANDA-NEWS. September 21, 2007.Speaking at the 2nd Far East economic Forum in Khabarovsk Aleksander Sapronov, vice president of Rosneft, said that Declaration of intention on construction of the eastern refinery at the end-point of ESPO oil pipeline has completed. “ We are nearly to complete preliminary feasibility study for the eastern refinery and in the short run we’ll be ready to start works on this project ”, he declared.

Cape of Elizarov was chosen as construction site for the eastern refinery that is 3-4 km off the future port in Kozmino Bay –end-point of ESPO oil main pipeline. According to Sapronov, implementation of the petroleum refinery has two stages 10 million tons each, where the first one will be finished by 2012.   Refinery construction project costs $5-7 billion. 90 per cent of production will be moved for export.

In turn, Dmitriy Bogdanov, vice president of Rosneft, said processing of Russian crude to be transported via ESPO oil pipeline is priority option of Rosneft. Loading of the refinery is considered to be more profitable for Russia than export of crude, he emphasized. “ We bring it to the notice of the government and now waiting for the resolution”, Rosneft vice president added.