KazMunaiGaz's acquisition of Kazakhstan Pipeline Ventures will give it rights to transport an additional 10.5m tons/yr of crude through CPC upon completion of work to expand the route, expected by 2013, the Kazakh company said in a news release. The increased access to the Caspian pipeline route is vital for Kazakhstan, which intends to increase its oil exports to some 400,000t/d in the next decade. Russia controls nearly all export routes for Central Asia's considerable oil and gas reserves, and has tried to keep the US and European governments from implementing plans for new export pipelines, such as the proposed trans-Caspian Sea subsea pipeline. The 1,510-km long CPC pipeline connects western Kazakhstan's oilfields with the Russian Black Sea port of Novorossiysk, and currently transports 28.2m t/yr of oil. After work on expanding the pipeline has been completed, CPC's capacity is expected to reach 67m t/yr, with 50m tons capacity reserved for oil extracted in Kazakhstan. The new acquisition increases the Kazakh government's share in CPC to 20.75%, and will raise KazMunaiGaz' access rights to the route to 14.3m t/yr after completion of the expansion project. US-based Chevron holds a 15% in CPC, and the Russian government has the largest interest with 24%. Other shareholders include ExxonMobil, Royal Dutch Shell, and Russia's Lukoil.
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