Oil flows in China-Kazakh pipeline
BEIJING, May 26 (UPI) -- China Thursday saw its first petroleum directly piped into the country, Xinhua news agency reported; the oil was from Kazakhstan.
The crude oil was pumped through a newly constructed pipeline that travels from Kazakhstan, across Alataw Pass, and into northwest China's Xinjiang Uighur Autonomous Region.
The oil, which emerged at a petroleum hub in Alataw Pass at 3.10 a.m. (local time) Thursday, had taken 30 hours to travel the 575-mile pipeline. Workers at the Sino-Kazakh Oil Pipeline Co. Ltd. opened the valve on the China-Kazakh border at 7.32 p.m. (local time) Tuesday, following instructions from their Kazakh colleagues in Atasu, who began pumping oil into the pipeline at 8.22 p.m. Tuesday.
The pipeline will benefit both countries; China's rapidly growing economy is thirsty for energy, and the Kazakh deliveries are much-needed. China's endless thirst for oil -- it is the world's second-largest importer -- in turn helps the Kazakh economy.
The pipeline has the added advantage of being direct-delivery, reducing China's reliance on sea-transported oil through the Strait of Malacca; previously the route of 80 percent of its oil imports.
"(The pipeline) has provided a direct link between Kazakhstan's rich oil resources and China's robust oil consumer market," said Yin Juntai, China Petroleum Exploration and Development Company deputy general manager.
In 2005, China imported 127 million tons of crude oil. Kazakh crude, via Alataw Pass, made up 1.3 million tons of those imports. Following the opening of the pipeline, Kazakh imports are expected to reach 4.75 million tons in 2006, and 8 million tons in 2007.
The 575-mile pipeline runs from Atasu, Kazakhstan, to the Alataw Pass of Xinjiang, northwest China, and is built to transport 20 million tons of oil per year. Completed in November 2005, it cost $700 million to build.
The crude oil was pumped through a newly constructed pipeline that travels from Kazakhstan, across Alataw Pass, and into northwest China's Xinjiang Uighur Autonomous Region.
The oil, which emerged at a petroleum hub in Alataw Pass at 3.10 a.m. (local time) Thursday, had taken 30 hours to travel the 575-mile pipeline. Workers at the Sino-Kazakh Oil Pipeline Co. Ltd. opened the valve on the China-Kazakh border at 7.32 p.m. (local time) Tuesday, following instructions from their Kazakh colleagues in Atasu, who began pumping oil into the pipeline at 8.22 p.m. Tuesday.
The pipeline will benefit both countries; China's rapidly growing economy is thirsty for energy, and the Kazakh deliveries are much-needed. China's endless thirst for oil -- it is the world's second-largest importer -- in turn helps the Kazakh economy.
The pipeline has the added advantage of being direct-delivery, reducing China's reliance on sea-transported oil through the Strait of Malacca; previously the route of 80 percent of its oil imports.
"(The pipeline) has provided a direct link between Kazakhstan's rich oil resources and China's robust oil consumer market," said Yin Juntai, China Petroleum Exploration and Development Company deputy general manager.
In 2005, China imported 127 million tons of crude oil. Kazakh crude, via Alataw Pass, made up 1.3 million tons of those imports. Following the opening of the pipeline, Kazakh imports are expected to reach 4.75 million tons in 2006, and 8 million tons in 2007.
The 575-mile pipeline runs from Atasu, Kazakhstan, to the Alataw Pass of Xinjiang, northwest China, and is built to transport 20 million tons of oil per year. Completed in November 2005, it cost $700 million to build.
posted by Marko at 5/26/2006 08:39:00 AM
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