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Prikarpatzapadtrans

Company


Owners:
JSC Transneft
For January, 2015.

History

In the middle of the 20th century through the settlement of Smyga laid the strategic oil pipeline. The pipe going from Russia to Eastern Europe provided the countries of the Warsaw pact with the diesel for military needs. After disintegration of the Union the pipe carried over "subsidiary" of Transneft (the Russian monopolist of transportation of oil) — Prikarpatzapadtrans companies.

In 2014 during crisis in the relations of Russia and Ukraine, the Ukrainian authorities decided to take away a pipe to themselves. And the decision on nationalization was made not by the State Office of Public Prosecutor or the president, but regional court — in November of the 2014th the Rivne court allowed the appeal of local prosecutor's office and took away a pipe from Transneft[1].

On December 30 the 2014th in the settlement of Smyga of the Rivne region of Ukraine armed men appeared. The imperceptible pump station was the purpose of fighters of the voluntary Dnieper battalion. However battle march on 900 kilometers towards the West was not successful: fighters of battalion were waited by the same people armed cap-á-pie in a camouflage. Arrange real war in that part of Ukraine where it cannot be by determination, warring parties did not become. Having a little loafed about and having scolded, fighters of Dnieper retired.

So on the eve of New year the attempt of capture ("nationalization") of the main Ukrainian artery with oil products — pipes of Transneft to Hungary ended with failure. Not the staff of security company and not "holiday" Russian military protected the Russian pipe — the help appeared in time from the Ukrainian patriots. "Fighting volunteers" of Transneft, without waiting for any special sanction from the Russian state company, were employed by the largest local petrotrader — the Ukrainian Continuum group. In "control points" the oil pipeline is protected now by 800 fighters with experience of conducting combat operations.

The Ukrainian petrotraders (receiving the diesel from the Russian pipe on a profitable rate), with bated breath, wait for the solution of final instance — the Highest Court of Appeal of Ukraine: the pipeline is necessary to them more, than Transneft.

Meanwhile, Transneft already blocked supply of oil products — even in the summer it promised to extort all oil from a pipe and also to liquidate Prikarpatzapadtrans if the pipe will be nationalized. To the Ukrainian traders it was not profitable at all. Representatives of Continuum — the largest sellers of oil products controlling 20% of the market tried to find a compromise solution (among assets — network of fueling stations of WOG and not working Kherson Refinery). According to Jellyfish, top managers of the company came to Moscow more than once, persuading Transneft not to wash away the diesel from a pipe. They asked the Ukrainian authorities not to take away a pipe from Russians. First, if fill in water there, it sometime should be poured out, and it threatens with environmental disaster. Secondly and, probably, in - main, with a pipe stop only Continuum will lose 10 million dollars of profit a year: via the oil pipeline the group buys one million tons; if the pipe stops and the diesel should be delivered tanks, each ton will be for 10 dollars more expensive.

The monopoly of Russian Transneft in general seems to local sellers of oil products the smallest evil: it will be much worse if the pipe falls into hands of one of competitors. The businessman Sergey Kurchenko, close to family of the president Victor Yanukovych, once applied for informal control over a pipe; but, as the petrotrader who wished to remain not called as a result at Kurchenko tells nothing left. At the president Petro Poroshenko there were new people who are interested in the oil pipeline. So, sources in the market told Medusa that in case of withdrawal of a pipe to Ukraine, it will be controlled by the entrepreneur, close to the present power — the owner of the Factor group Sergey Tyshchenko.

The more the interested concerning a pipe from the power, the there are less chances at petrotraders to save the place in the market. Therefore the owner of Continuum, the People's Deputy Igor Yeremeyev, having secured with support of partners, went for broke. Up to the decision of the Supreme Court of Appeal it will protect a pipe with weapon. If the parties do not agree and the Supreme Court will make the decision to give a pipe to Ukraine, petrotraders should recede.

Notes