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May 1999 Archives

May 11, 1999

Baku Continues at the Center of Negotiations

Transit of oil through the Baku-Novorossiisk pipeline continues to be a problematic affair. Since the beginning of the month, the pipeline has been shut down three times. The reasons given are the age of the Russian section of the pipeline and defects in its reconstruction as well as theft of oil along the Chechen part of the route. Although the Azerbaijan International Operating Company (AIOC) says it intends to continue cooperation with the Russian oil pipeline operator Transneft to use the route, the decision to seek other routes such as Baku-Supsa seems now well justified. However, it is clear that Baku-Supsa can only be a temporary bypass in its present state and that the early oil pipeline is unlikely to satisfy all export needs even if upgraded and expanded.

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About May 1999

This page contains all entries posted to Robert M. Cutler on Energy and Eurasia in May 1999. They are listed from oldest to newest.

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