"Oil output will grow on condition oil fields, including those in the Timano-Pechora basin [in the Barents Sea] are developed intensively as are resources in East Siberia and the Republic of Sakha [Yakutia]," reads the draft program for the country's socio-economic development in the mid term, which was posted on the ministry's website on Tuesday.
The draft program envisages measures to develop oil transportation and boost railroad oil exports to the Asia Pacific region.
"If the required oil reserves and the project's pay-out time within this period are confirmed, the pipeline towards Nakhodka with the capacity of up to 80 billion tons of oil a year and with a branch to China will start being implemented," reads the program.
An oil pipe from West Siberia to the Barents Sea coast (near Murmansk or the Indiga sea port) with the capacity of 50-70 million tons of oil a year will also start being constructed in the mid term.
"This will allow to build a new export channel to the European and US markets, reduce the risks of transiting oil via the Turkish straits and switch over to railroad and other kinds of transportation," reads the program.
Once the oil pipe has been completed the export of oil from the Timano-Pechora basin, West Siberia and part of Kazakh oil transited along the Transneft network will be launched in this direction after 2010.
Some $5-$12 billion will have to be invested in the project, according to preliminary estimates. The sum depends on the choice of a route.
In a preliminary estimate $140 billion must be invested in oil production over the period from 2005 to 2015 or $156-$163 billion considering transport projects will have to be implemented as well.
Implementing these promising projects will boost pipeline transport's share in overall oil exports from 77.5% in 2003 to 94.5% in 2015, according to economic development ministry experts.
