OREANDA-NEWS. Nikolay Brunich was elected General Director of CPC-R/K at the CPC-R Board Meeting and CPC-K Extraordinary Shareholders Meeting of CPC-K held on February 27, 2013. Mr. Brunich was nominated by Transneft that represents the Russian Government Shareholder. Nikolay Platonov who has been CPC General Director since November 2010, is to resume his employment with Transneft.

Nikolay Brunich has practical experience in the oil and gas industry of nearly 30 years. For the last 14 years he has been holding top-management positions and for the last 5 years was Director General of Zarubezhneft. Mr. Brunich holds tertiary diplomas in Science and Economics, a PhD in economics; a “Merited Oil Industry Worker” and “Merited Fueld and Energy Complex Worker” Awards, as well as a number of Government decorations.

The Meetings reviewed matters pertaining to current business operations of the Companies and the Expansion Project progress.

CPC Pipeline System is one of the major investment energy projects with foreign participation in the CIS. The pipeline that transports crude oil from the oil fields of Western Kazakhstan to the Marine Terminal in Novorossiysk is 1,511 km long. CPC Marine Terminal is equipped with single-point moorings, which enable safe loading of tankers at a considerable distance from the shore, including in adverse weather conditions.

The Expansion Project envisages rehabilitation of 5 existing and construction of 10 additional pump stations (2 in the Republic of Kazakhstan and 8 in the Russian Federation), six near Novorossiysk and an SPM at the CPC Marine Terminal to supplement 4 existing crude oil storage tanks. It also includes replacement of a 88 km pipeline section in Kazakhstan with a larger diameter pipe. Total investment in the Project will be USD 5.4 billion.

CPC Shareholders: Russian Federation (represented by Transneft - 24% and CPC Company - 7%) - 31%; Republic of Kazakhstan (represented by KazMunaiGas - 19% and Kazakhstan Pipeline Ventures LLC - 1.75%) - 20.75%; Chevron Caspian Pipeline Consortium Company - 15%, LUKARCO B.V. - 12.5%, Mobil Caspian Pipeline Company - 7.5%, Rosneft-Shell Caspian Ventures Limited - 7.5%, BG Overseas Holding Limited - 2%, Eni International N.A. N.V. - 2% and Oryx Caspian Pipeline LLC - 1.75%