Caspian CPC Crude November Exports to Fall to Eight-Month LowSherry Su
The Caspian Pipeline Consortium will reduce November shipments to the least in eight months, even with additional exports from the Kashagan field, a preliminary loading program obtained by Bloomberg News showed.
CPC, operator of the only oil-export link in Russia that has shared foreign ownership, will ship 2.56 million metric tons in November compared with 2.95 million tons in October, the schedule showed. That’s equal to 663,170 barrels a day, the least since March, and is down 10.4 percent from this month.
The CPC program comprises 10 cargoes of 134,000 to 135,500 tons each and 14 consignments of 80,000 to 93,500 tons, according to the plan.
Exxon Mobil Corp. will load 85,000 tons of Kashagan crude on Nov. 29, the first shipment from the $48 billion oil project in Kazakhstan that was delayed by eight years. Exxon was originally allocated one cargo from the field in October, which was removed from the final loading program.
Production at Kashagan was halted again after traces of gas were detected during a routine inspection of a pipeline, according to the project’s operator, North Caspian Operating Consortium. The field was also shut on Sept. 24 because of a leak and resumed flow on Oct. 6.
The CPC pipeline, in which Chevron Corp. is the biggest corporate shareholder with a 15 percent stake, carries crude from Kazakhstan’s western fields to a terminal near Russia’s Novorossiysk port on the Black Sea. Russia owns 31 percent of the pipeline and Kazakhstan 21 percent. Exxon, OAO Lukoil and a joint venture between OAO Rosneft and Shell are among the other shareholders.
Loading programs are monthly schedules of crude shipments compiled by field operators to allow buyers and sellers to plan their supply and trading activities.