OREANDA-NEWS. November 22, 2007. Scheduled meeting of the Board of Directors of Transneft JSC, hold on November 21st 2007, discussed results of inspection of works progress at construction of  “Eats Siberia-Pacific Ocean” oil pipeline.

The first stage of ESPO construction includes the linear part of 2694 km total length, seven oil pumping stations with tank farm of 800 th. m3 capacity, communication facilities, objects of external power supply, stand-alone diesel engine power plant, management unified  informational system, specialized sea oil loading port Kozmino. Construction has been executed mostly in conditions of increased complexity – in flood-lands of rivers, bogs, and permafrost soil with deep incline. The route crosses 530 waterways, including Ust-Ilim water storage and such big rivers as Lena, Angara, Nuya, Amga, Aldan, Chulman and others.

General contractors of ESPO facilities’ construction are ООО "Systema SpecStroy", ZАО "Krasnodarstroytransgaz", ООО "Vostok Stroy", ОАО "Promstroy", ZАC ОО Amerco Int. Ltd., ООО "I P Set Spb".  More than 7 thousands men and  more than 2,5 units of  special machineries and equipment are  involved in construction.

Directors Board noted on significant slippage of works and default of works along 704 km of the linear part that makes up 26% of the whole route.  Unsatisfactory preparation of the route, welding of pipes into line, ditch backfilling, hydro tests and form measuring of pipeline, poling of high-voltage transmission line take place at some sites of the route.

Reasons are lack of the necessary quantity of qualified workers, experts, and subcontractors to be engaged in construction process. Independent quality control demonstrated that key breaches, reflected in instructions of engineering supervision, were: untimely execution of industrious documentations, deviation from the project resolutions and rules of transportation and storage of materials and equipment, untimely elimination of remarks made before.

To present day, there is no completed public examination of the feasibility study of Kozmino oil port that does not allow developing design estimates and to lunch construction of the port facilities, which would take 1,5-2 years.

As a whole, the inspection made it clear that total readiness of the ESPO first stage facilities for the linear part amount to 41.1% as against 60% planned; for oil pumping stations – 23,9% as against 56% planned.

Besides the Board discussed and planned to take measures to increase responsibility of Contractors, engaged in ESPO construction, and to eliminate all disadvantages noted.

The Board recommended as type plan the project of Contract of services rendering for transportation of oil for 2008.

There were also discussed many other issues concerning activity of Transneft.