Bloomberg News

Kazakh Oil Pipeline Boosts Shipments to China by 24 Percent

October 21, 2008

Kazakhstan's oil pipeline monopoly increased shipments through its Atasu-Alashankou link to China by 24 percent in the first nine months of the year.

Oil exports through the pipeline to China rose by 855,000 metric tons from a year earlier to 4.384 million tons, KazMunaiGaz National Co.'s crude-shipping unit said today in an e-mailed statement. Russia sent 708,000 tons to China through its Omsk-Pavlodar-Atasu-Alashankou link in the same period, Astana-based KazTransOil said. The 200,000-barrel-a-day Atasu- Alashankou pipeline was completed in December 2005 at a cost of $800 million. Russian crude oil is delivered to the pipe though a link from Omsk in Siberia. Russia sent oil to China through the pipeline for the first time in the first quarter, when it allowed OAO Gazprom Neft and BP Plc (BP/)'s Russian venture TNK-BP each to ship 150,000 tons.

State-run KazTransOil's crude shipments through the Atyrau- Samara pipeline increased by 511,000 tons from a year earlier to 12.425 million tons in the first nine months, the company said. It shipped 8.85 million tons to Kazakhstan's three refineries, an increase of 624,000 tons.

China is second only to the U.S. in energy consumption.

To contact the reporter on this story: Nariman Gizitdinov in Almaty, Kazakhstan, through the Moscow newsroom at

To contact the editor responsible for this story: Guy Collins at

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