25-08-04 The Taishet-Nakhodka pipeline has no alternatives, Russian Minister of Industry and Energy Viktor Khristenko said. He arrived in Beijing to take part in the sixth session of the Russian-Chinese subcommission for construction in the sphere of the power industry.
The Russian minister said that the feasibility study of the project, done by the Transneft company, had been given at the end of July for a technological and ecological expertise to appropriate state bodies. The expertise can last for half a year, but it may be completed earlier, Mr Khristenko added.
"After the expertise we shall be able to start discussing the investment decision as well as the form and the sources of financing," the Minister of Industry and Energy said.

According to the preliminary estimates, he continued, the maximum amount of oil pumped along the pipes will total 80 mm tons, and its cost will stand at $ 14 bn-$ 15 bn. These figures substantially differ from the figures in the project two years ago.
"The project itself also differs. Not only the route of the pipeline has been changed (it has become longer, beginning in Taishet, not in Angarsk), but also the output capacity of the pipeline -- it has nearly doubled against the earlier calculated 30-50 mm tons," Viktor Khristenko added.

The minister also explained that the pipeline would be built stage by stage. The terminal will be in Nakhodka. With the completion of the first stage from Taishet, the oil will be further transported by railroad.
"With the completion of the next stages of the pipeline, the length of the railroads on the route will become shorter," the minister said.
Speaking about the possible sources of financing the project, Viktor Khristenko underscored that credits would be attracted for this purpose.
"We must do it, and we shall discuss these issues with our Japanese, Chinese and other colleagues," he added. Apart from that, the minister did not exclude the possibility of an additional participation of the state in the implementation of such a large-scale project.

The possibility of building a branch from the pipeline towards China still exists, according to Mr Khristenko. However, he pointed out, this question should be discussed at the time of drafting an investment decision.
"Today, it is premature to speak about it, more so since the previous decisions could not be realised because of the negative ecological and technological expertise, as a result of which the route of the pipeline was changed," the Russian minister said. "Taking into account the new project, the route will pass more eastward than it was planned earlier," Viktor Khristenko added.

However, the dynamics of oil deliveries to China, according to Khristenko, is rather stable and they amount to 6 mm tons. He said that it was quite real to increase the figure to 10 mm tons.
"Russia has oil, and despite some or other corporative problems, we shall not curtail our oil production," the minister said.

The six session of the Russian-Chinese subcommission for cooperation in the power industry of the commission for preparing regular meetings of the Russian and Chinese heads of government is held in Beijing. In its context, the working groups for oil, gas and electric energy will hold their sessions, and Viktor Khristenko will meet with Chairman of the State Committee of the PRC for Development and Reform Ma Pokai.
It is planned to complete the meeting with signing a joint protocol.