|The project could double the transfer of crude oil through Ukraine|
Courtesy of Gazprom
The European Commission has included the Adamowo-Brody pipeline, an extension of the existing Odessa-Brody crude-oil pipeline, on its list of projects of common energy interests.
The move could allow for easier financing of the project, which extends the Ukrainian pipeline to Polish territory, the Ukrainian Kommersant daily reported.
If extended and connected to the Polish oil transfer system, the Odessa-Brody pipeline could be used to transport Caspian Sea crude oil to Central and Eastern Europe.
The project’s success will depend on decisions in Poland, Kommersant writes, adding that in September, Warsaw decided to move funds from the ongoing EU’s Infrastructure and Environment program – which had originally allocated money for a Brody-Płock pipeline – to other endeavors.
The European Commission published a list of 250 key infrastructure projects on Monday, with a total budget of almost €6 billion earmarked for the next budget period from 2014-20.
Meanwhile, according to Ukrainian pipeline operator Ukrtransnafta, connecting the Odessa-Brody line with Poland may double the transfer of crude oil through Ukraine. Currently the line pumps oil from Russian refineries toward Odessa – opposite to what had been originally planned.
“The Russians are not encouraging crude oil exports, only finished petroleum products … which is why Poland could build a safeguard with the pipeline in order to gain an alternative source of [crude oil] for its refineries,” Upeco consultant Oleksandr Tsyrenko told the Ukrainian edition of Kommersant.
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