BELARUS NEWS AND ANALYSIS

DATE:

12/03/2007

Lukoil Ceases To Proces Oil In Belarus

Lukoil, Russia's largest oil company, has ceased to supply crude oil to Belarus's two refineries for processing on a give-and-take basis, Belapan reported on March 10. "We've abandoned the processing of oil in Belarus on a give-and-take basis because this is unprofitable for us now," the Lukoil press office told the agency. Until recently, oil processed on this basis at the refineries in Navapolatsk and Mazyr came from Lukoil, Slavneft, Surgutneftegaz, Russneft, Rosneft, LITASCO Belorussia, Univest-M, Slavneftekhim, Triple, Miralex, Belrosneft, Sibtechnostal, Toplivoresurs, PrimexBelOil, and Iterbelnafta. As much as 21.5 million tons of Russian oil was processed at the two Belarusian refineries in 2006. However, Lukoil pledged that it will continue to supply oil to Belarus. In March, Lukoil was to supply 240,780 tons and has already supplied some 141,000 tons. "This oil was not processed on a give-and-take basis but was sold to enterprises of Belnaftakhim [Belarusian State Petrochemical Concern] and independent market participants," the Lukoil press office explained. In February, the Russian oil price for Belarus, including all duties, was $225 per ton. JM

Source:

http://www.rferl.org/newsline/2007/03/3-CEE/cee-120307.asp