Transneft cuts 2014-2018 investment program from 500 bln to 458 bln rubles
MOSCOW. Dec 23 (Interfax) - Russian oil pipeline company OJSC Transneft has reduced its investment program from 500 billion rubles to 458 billion rubles for the period 2014-2018, company materials say.
Transneft presidential advisor Igor Demin told Interfax that one of the main reasons for the reduction is the Russian government's decision to freeze tariffs in 2014. So the program does not include top-priority or promising projects.
Demin said it also does not include costs for Eastern Siberia - Pacific Ocean pipeline (ESPO) expansion to up to 80 million tonnes, as it has yet to be decided where the financing will come from.
Investment program volume was approved by the company board of directors on December 13.
Demin said that the 500 billion-ruble investment program announced earlier by the Energy Ministry factored in costs for promising company projects.
The investment program for next year is now 180 billion rubles instead of the previous 189 billion rubles, the materials say.
The investment program for 2013 was lowered from 165.1 billion tonnes to 134.7 billion rubles.
The expansion of ESPO-2 to 58 million tonnes has an estimated price tag of 27.7 billion rubles, the first and second phases of the oil product pipeline project Yug - 48.7 billion rubles, and the expansion of the oil product pipeline Sever to 15 million tonnes - 26.8 billion rubles.
