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Georgian Kulevi Port Exports Caspian And Black Sea Oil Products

Georgian Kulevi Port exports Caspian and Black sea oil products

Georgian Kulevi Port Exports Caspian And Black Sea Oil Products

Kulevi, Georgia (PortSEurope) December 19,2018 – During its over 10 years of operation, the Black Sea terminal (BST) of Azerbaijan’s state oil company SOCAR in Kulevi, Georgia’s current northernmost port, shipped more than 2,400 tankers.

The total capacity of the terminal is 10 million tons of oil cargo per year, including three million tons of oil, three million tons of diesel fuel and four million tons of fuel oil. The total capacity of the terminal’s tank farm (tank park which consists of 21 reservoirs) is 402,000 m³. The future annual capacity of the terminal is planned to be 20 million tons of oil cargo.

Kulevi oil terminal was designed for the transshipment of oil and oil products – discharge from railway tank cars and vessels, storage in the reservoirs and loading to vessels. Via the Kulevi oil terminal, transshipped products include crude oil, fuel oil, diesel oil, gasoil, methanol, aviation kerosene, BBF (butane-butylene fraction), propylene, heavy pyrolysis resin, naphtha and ULSD (ultra-low-sulphur diesel).

There are three piers at the terminal, located on the mouth of the Khobi River. Two of them (each 250 metres long) are used for loading of tankers and the third one is used for anchorage of auxiliary fleet. The terminal is able to receive Aframax class tankers with the DWT up to 105 000 tons.

The Kulevi terminal is intended to be a storage facility and a transfer point for black oil, fuel oil and other oil products delivered from Azerbaijan, Turkmenistan and Kazakhstan, after extraction from the Caspian Sea and Black Sea fields. It is also an out-port for Georgian petrochemical production, especially from the Samgori field in the east of the country.

Oil and oil-related shipments from Georgia’s Black Sea port of Batumi fell 48.6% in the first 11 months of 2018 from a year earlier because Azerbaijan prefers to send its oil through the Baku-Tbilisi-Ceyhan pipeline or via its own terminal in Kulevi, rather than from Batumi, which is operated by a Kazakh company.

Phasis Oil company plans to start in the spring of 2019 the construction of a high-technology oil refinery near Kulevi port.

Phasis Oil director Gia Shavdia was quoted by Georgian media as saying, “Under an investment agreement, a territory of 60 hectares had been allocated to SOCAR Georgia Investment in Kulevi. We bought this land and launched the refinery project implementation.

The new refinery will be able to supply premium class products to the market at competitive prices. The minimum output will be 4.2 million tons of light crude oil. Under our investment agreement, we are authorized to manufacture only Euro 5 standard products (petrol and diesel).”

Georgia’s annual fuel consumption is 1.3 million tons of oil products, while our refinery will produce 4.2 million tons of oil products and this factor will enable the export of 2/3 of our products abroad (via the SOCAR’s BST).

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