Russian oil pipelines need about USD 130 million in investment each year to be kept in working order. As a Rosbalt correspondent reports, this information was made public yesterday by the Russian Ministry of Economic Development and Trade at the Federal Council round-table meeting 'Prospects for Pipeline Transportation in Russia.'
As the ministry data reveals, over 70% of the oil pipeline system in Russia has deteriorated. Only 7% of Russian oil pipelines have been in use for less than ten years while 34% have been in use for over 30 years. 70% of the pipeline tanks used for storage and transportation purposes have been in use for over 20 years.
The government is aiming to expand existing oil pipelines and also create new ones to attract investment in the Russian fuel and energy sector, increase the volume of oil extraction (to 574 million tonnes by 2010) and create better conditions for CIS countries transporting oil across Russia. The main areas for developing the pipeline system are the North Baltic region, East Siberia and the Far East.
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