Transneft to curtail equipment imports to 3% by 2020

Photo by Peter Degtyarev.

October 23, 2014

Transneft will soon not depend on imported equipment, the company’s first vice president Yuriy Lisin said today during the National Oil & Gas Forum in Moscow.

Lisin said that for 10 years the company had been working to replace imports with Russian-made equipment and added that this had already resulted in less than 10% of the equipment Transneft uses being foreign-made.

“Over the past 10 years, we have set up production at Russian plants for fittings we previously purchased from the Americans, Italians and Japanese”, Lisin said, “Today, Russia has 3-4 plants which fully cover such fittings. The weight of one valve we use on the East Siberia-Pacific Ocean pipeline is 34 tons, and it is not justwe a chunk of metal, it is a feat of engineering”.

Lisin noted that there was a “sensitive situation” concerning the 10% imported: the manufacture of pump equipment, traditionally used across nearly the entire oil pipeline transport system since the USSR, is located in Sumy, Ukraine. In 18 months, he promised, the first Russian pump would begin working.

Oil meters are one of five key pieces of equipment which the company had purchased abroad until recently. Lisin said that at the beginning of last week, the first shipment of Russian oil meters was sent. He said they were more precise than foreign meters.

Another “sensitive topic” for Transneft is the shipment of anti-turbulent additives used to increase throughput capacity by 20%, depending on pipe diameter. Today the USA And FInalnd control the biggest share of the market for such additives. “With our manufacturers, we are trying to make such an additive, but so chemical plants in Russia are holding back the process somewhat”, Lisin explained. “Still, in line with our objectives, we will conduct laboratory tests on an additive 90% made of Russian raw material by the end of the year and next year we plan to conduct industrial  testing and in 2016, bring 100% Russian production on line”, he added. 

Lisin said Transneft could continue to buy anti-turbulent additives made by famous Western manufacturers, but commented that “a situaiton in which they may or may not sell to us” did not suit the company.