Latest News

CPC rushes to complete Black Sea mooring repair in order to maintain oil production after drone attack

Five sources confirmed on Tuesday that the Caspian Pipeline Consortium is aiming to finish repairs on its third SPM-3 single point mooring at its Black Sea Terminal ahead of schedule. The consortium wants to restore its full CPC Blend export capacity following a drone strike which damaged one of their other moorings.

Sources familiar with the situation have confirmed that SPM-3 will be back in operation in the next 7 days. The repairs were originally planned to take two months.

CPC has halted operations after a drone attack by the Ukrainian navy caused significant damage to its SPM-2 mooring. Sources say that its repairs will take several months. They also add that the exact timeframe of repairs or replacement is currently being studied.

A spokesperson for the consortium, whose shareholders include Russians, Kazakhs and U.S. companies, declined to comment.

CPC resumed loading limited cargo from the remaining operational docking Monday.

Sources claim that it is operating at less than half of its normal capacity. They said that with two of the three SPMs on line, exports will be restored to their full level.

A source from a company that supplies oil to CPC said, "It's critical to get the second mooring in operation. Otherwise, suppliers could face production cuts."

Sources declined to name themselves as they were not authorized to speak with the media.

According to an initial plan, CPC Blend oil from the Black Sea is expected to increase to 1.7 millions barrels per day in December. This compares to around 1.45million bpd during November. Sources warned, however, that the plan may be revised down depending on how quickly repairs are completed.

(source: Reuters)