Caspian Energy Media — Oil, Gas & Energy News from the Caspian Region

Caspian – Black Sea Transshipment Corridor for Hydrocarbons

Established as a joint venture with the State Oil Company of the Azerbaijan Republic (SOCAR), Cross Caspian Oil and Gas Logistics LLC, coordinates and provides integrated hydrocarbons transportation services across the Caspian Sea to the Black Sea and the Baku-Tbilisi-Ceyhan (BTC) pipeline entry point through marine, pipeline and railway shipments. 

The company is committed to operational excellence acting in a safe and environmentally responsible manner and adhering to all international standards. 

HIGHLIGHTS

  • Unified Vision of the hydrocarbons transportation corridor 
  • Networking all transshipment facilities across the Caspian Region
  • Over 1.2 million tones of crude and oil products transshipment capability per month 
  • Multimodal transportation solutions for crude and oil products 
  • Highly professional staff steered by an experienced management team 
  • Adherence to all international standards 

Beginning October 2008, Cross Caspian Oil and Gas Logistics LLC started transportation of crude oil produced from the Kazakh field of Tengiz, operated by Tengizchevroil, a consortium including Chevron, ExxonMobil, KazMunayGaz and Lukarco JV. Tengizchevroil’s crude is transported across the Caspian Sea by shipping companies of both Azerbaijan and Kazakhstan. In Azerbaijan, the crude is received into terminal facilities for transshipment and storage. Further, the oil is delivered either to the BTC system through the interconnection pipeline facilities and/or by rail to the Black Sea Ports of Georgia. 

The Caspian-Black Sea Transshipment Corridor is considered to be one of the strategically most important export routes for Caspian oil. The corridor is marked by the diversity of interconnec­ted maritime oil loading facilities located on shores of the Caspian and Black Seas and linked by a railroad network to one another. Thus, it enables cargo owners to deliver their hydrocarbons to the Black Sea or BTC system for further supply to international markets.    

The corridor has proved to be a competitive, reliable and flexible logistic solution for its clients. The Caspian region is seen among key hydrocarbon suppliers and associated with several major exis­ting and upcoming oil projects, which development requires existence of viable and stable export options. There is a number of the infrastructure deve­lopment projects launched within the Caspian-Black Sea transshipment corridor to improve and widen range of provided service, raise the standards and introduce the best industry practices, while increa­sing its availability capacity. 

One of the significant projects for expansion of the Caspian-Black Sea Transshipment Corridor is Garadagh-Sangachal oil terminal, which is currently under construction. The terminal has been envisioned as a hub for transshipment of high volume equity barrels. It is designed a multiple berth port along with potential SPM (SAL) to receive all types of vessels with deadweight ran­ging 5,000 - 15,000 at berths to 60,000 MT at SPM (several alternative SPM/subsea pipeline/buffer tank farm locations). The port has been designed for handling massive streams through extensive storage facility to either the BTC System via high capacity interconnection facilities or to the Georgian terminals via modern and powerful railway loading installations.

CORPORATE EXCELLENCE

Long-term Strategic Investment Planning 

Undertaking a twenty-five year strategic view of hydrocarbons production in the CIS region in order to identify strategic investment opportunities to accommodate greater transshipment volumes in the future. 

Transit Operations and Local Production Transshipment Management 

Providing guidance to the operating units, including risk-assessment and contingency planning, in order to better distribute and coordinate the transshipment capacity of the Azerbaijan-Georgia corridor between local production and transit volumes.

Infrastructure Survey and Investment Analysis 

Working in close cooperation with railway and other subcontractors in both Azerbaijan and Georgia. Undertaking studies of the current infrastructure of the corridor and seeking opportunities to further enhance its capabilities. 

Quality Assurance 

Developing standards, procedures and guidelines to assist the operating units to establish local and/or regional vetting schemes to improve the management of risk associated with the usage of shipping, railway and terminal facilities. 

Health, Safety and Environment 

Monitoring the adherence of all transshipment facilities in Azerbaijan to the highest achievable health, safety and environmental standards. 

CORPORATE CITIZENSHIP

Cross Caspian Oil and Gas Logistics LLC recognizes its global responsibility to keep transshipment operations safe in an environmentally conscious manner. With our committed professionals, we, at Cross Caspian Oil and Gas Logistics LLC have extensive auditing procedures whereby we regularly inspect the transshipment facilities in Azerbaijan to ensure their day-to-day adherence to international ope­rational standards, including ISO 9002, ISO 18001, HSE and OHSAS, as well as their compliance with the IMO, IPIECA, OCIMF requirements and guidelines. 

Cross Caspian Oil and Gas Logistics LLC takes great pride in being actively involved in one of the most important business sectors for the local economies, playing a leading role in facilitating large scale investments in shipping and transshipment facilities in the region, therefore creating a secure future and job opportunities for the local communities.