OREANDA-NEWS. June 16, 2010. Creation of oil pipeline Odessa-Brody-Plozk, engineering of which still fails to move from a dead stop, becomes more and more greedy for oil.

Sources close to the Project say that today Poland expects to carry up to 14 million tons of oil a year via the pipeline.

“Previous plan supposed supply of only 9 million tons of oil,” a source said.

It is planned to receive oil for the Project precisely from Azerbaijan.

Today Odessa-Brody operates in the reverse mode transporting oil from Russia. The rest of “Friendship” pipeline segments are still used for exporting Russian oil, which does not allow creation of Odessa-Brody-Plozk system to export Caspian oil.

Earlier the Ukrainian leader claimed that dialogue on Eurasian Oil Transport Project started almost two years ago and stipulating Caspian oil transportation to countries of the European Union was in fact at final stage.

In Ukrainian party’s view, the project is going to be successful.

Expansion of Kulevi terminal up to 20 million tons of oil a year, expansion of Baku-Supsa by 2.5 million tons by 2012 and the agreement between SOCAR and Kazmunaygaz will create volumes on Georgia’s Black Sea shore that may be exported not only through Odessa.

On 22 August 2008, inter-department group on Odessa-Brodi pipeline maintenance in aversion regime offered the Cabinet Ministers of Ukraine to draw Ukrneft as customer and financial guarantor of oil supply via the pipeline instead of Milbert Ventures Inc suggested earlier.

In summer 2008 the participants of initiative group of Ukraine and Azerbaijan agreed on the test filling-in of Odessa-Brody pipeline with technical oil of Azeri origin.

Earlier State Oil Company of Azerbaijan (SOCAR) expressed readiness for sale of up to 470,000 tons of oil for technical needs of the pipeline on a common basis – on established scheme of competitive sales from the Black Sea ports.

SOCAR links further steps on participation in the project with making of its feasibility study.

The Eurasian Transport Project (oil pipeline Odessa-Brody-European Union) involves Azerbaijan, Georgia, Ukraine, Poland, and Lithuania.

The project is managed by Sarmatiya Pipeline Company that has already selected engineering company for preparing the feasibility study.

By the present the participants of Sarmatiya LLC international pipeline company are SOCAR, Georgia’s Georgian Oil and Gas Corporation Ltd. (GOGC), Ukraine’s Ukrtransnafta, Poland’s Przedsiebiorstwo Eksploatacji Rurociagow Naftowych Przyjazn S.A. (all they have equity stakes of 24.75%), and Lithuania’s AB Klaipedos Nafta (1%).

SOCAR became a participant of originally Poland-Ukraine’ International Pipeline Company Sarmatiya Ltd along with Georgia’s GOGC and AB Klaipedos Nafta (Lithuania).

Odessa-Brodi long-distance oil pipeline was built in 2001 for Caspian oil transportation. It was not used for several years. In late June 2004 the Ukrainian government permitted its use for transportation of Russian oil in reverse mode. On 12 July 2004 Ukrtransnafta and Poland’s oil transport monopoly Przedsiebiorstwo Eksploatacji Rurociagow Naftowych Przyjazn S.A. (PERN Przyjazn) established Sarmatia joint venture to prepare estimates, raise investments and provide construction.

The major directions of Company’s activity are to draw up design and estimate documentation, raise investments and ensure construction works.