News

10 Jun 2008

LUKOIL, Russia's second-largest oil producer, has loaded the first ice-class tanker at its new oil export terminal in the Arctic port of Varandei, the company said on Monday. The 70,000-tonne Vasily Dinkov is bound for the Canadian port Come by Chance, LUKOIL said in a statement. The new Varandei terminal -- where ice-class vessels are required all year round except July and August -- has capacity to export 12 million tonnes per year (240,000 barrels per day) of crude from the Timan-Pechora province. LUKOIL is developing fields in the region in conjunction with its 20 percent shareholder, U.S. oil major ConocoPhillips. It has ordered four specialised ice-class tankers to operate from Varandei.
LUKOIL has been exporting crude from Varandei via a smaller terminal owned by Murmansk Shipping Co. In 2007, this terminal shipped 576,000 tonnes, up from 501,000 tonnes in 2006.
The new terminal at Varandei is expected to export between 2 million and 3 million tonnes of crude annually. The oil can be shipped directly to the buyer or for trans-shipment at Rosneft's Belokamenka terminal in Murmansk.
LUKOIL's Varandei export terminal includes 325,000 square metres of storage and an ice-free berth 22 km (14 miles) off shore.
LUKOIL has said it requires a terminal in the Russian north that is not blocked with ice during winter. The company has discussed the possibility of a terminal on the Kola peninsula or Norway, but has yet to make a decision.