Baku–Novorossiysk pipeline

Baku–Novorossiysk pipeline
Location of Baku–Novorossiysk pipeline
Location
Country	Azerbaijan, Russia
General direction	east–north-west
From	Baku (Sangachal Terminal), Azerbaijan
To	Novorossiysk, Russia
Runs alongside	South Caucasus Pipeline
General information
Type	oil
Partners	SOCAR, Azerbaijan International Operating Company, Transneft
Operator	SOCAR, Transneft
Commissioned	1997
Technical information
Length	1,330 km (830 mi)
Maximum discharge	5 million tons per year

The Baku–Novorossiysk pipeline (also known as the Northern Route Export Pipeline and Northern Early Oil Pipeline) is an 1,330-kilometre (830 mi) long oil pipeline, which runs from the Sangachal Terminal near Baku to the Novorossiysk terminal at the Black Sea coast in Russia. The Azerbaijani section of the pipeline is operated by the State Oil Company of Azerbaijan Republic (SOCAR) and the Russian section is operated by Transneft.

A contract on the transportation of Azeri oil via Russia to the Black Sea port of Novorossiysk was signed on 18 February 1996. The trilateral contract was concluded between the Azerbaijan International Operating Company, SOCAR and Transneft. The oil transportation through the pipeline started on 25 October 1997.

On 6 December 2006, after dispute over natural gas supplies from Russia, Azerbaijan announced that it will stop the exports of Azeri oil through the Baku–Novorossiysk pipeline starting on 1 January 2007. Although SOCAR continued decreased oil supplies through the Baku-Novorossiysk Pipeline, the Azerbaijan International Operating Company stopped using the pipeline starting from 1 April 2007 and SOCAR became the new operator of the Azerbaijani section. SOCAR temporarily stopped oil supplies through the pipeline in February 2008 due to a pricing disagreement with Transneft. Later that year, the disagreement has been resolved and SOCAR resumed pumping oil on old agreement terms. In August 2008, the transport of oil along the Baku–Novorossiysk pipeline was radically increased due to sabotage in Turkey and the conflict in Georgia forcing a temporary shutdown of the rival Baku-Ceyhan and Baku-Supsa pipelines. As of 2013, the Baku–Novorossiysk pipeline remains operational, although the volume of oil pumped through it is relatively low. In 2012, SOCAR exported a total of 25 million tons of oil along all routes. Among them, only 2 million tons were exported through the Baku–Novorossiysk pipeline. The remaining 20 million and 3 million tons were exported through the Baku-Ceyhan and Baku-Supsa routes respectively. The crude oil transported through Baku–Novorossiysk pipeline is developed within the framework of Early Oil Project, first stage of larger Azeri-Chirag-Guneshli (ACG) project.