The State Duma of the Russian Federation approved an agreement on the construction of an oil pipeline in the Republic of Congo. This step completes the legal formalization of the project, which will strengthen cooperation two countries in the energy sector.
Construction of the pipeline with a capacity of 2.1 million tons of oil per year will begin in the near future. The Russian side is represented by the Zakneftegazstroy-Prometey company, which has experience in laying large highways. The Congolese partner is the national oil corporation, which is also the customer of the project.
After completion of construction, 90% of ownership of the oil pipeline will go to Russia. Congo will receive the right to exploit it under a 25-year concession agreement. If the country is unable to fully load the pipeline, the missing volumes will be compensated by Russian supplies.
The project will strengthen Russia’s position in the African energy market and help Congo develop its oil infrastructure. The pipeline is expected to create new jobs and will increase both countries’ oil export revenues.
Construction will begin after completion of all formalities. Analysts consider this project an important step in expanding Russia’s international cooperation in the energy sector.
Source: @nefte_baza
