“It will handle up to 4 million tonnes of fuel oil per year. And we can easily coordinate the deliveries to both the existing diesel terminal and the new fuel oil terminal. At the moment we are interested in a maximum loading of all the terminals in the port”, – said Transneft’s first vice-president Mikhail Arustamov in an interview to the company’s corporate magazine.

According to Arustamov, in order to increase the fuel oil handling capacities, the Sheskharis oil terminal had to undergo some reconstruction works at its current terminal infrastructure. 

“We will create a powerful fuel oil hub: 13 million tons will be handled at Sheskharis and 4 million tons at a new fuel oil terminal.  And since the main product of all Russian oil refineries (50%) is a fuel oil, the shortage of export transloading facilities will be drastically reduced. The transit implemented by road transport through the territory of Ukraine, Belarus and the Baltic countries, we will redirect to our terminals in Novorossiysk ,”- said vice-president of Transneft.

According to the previous reports, OJSC Novorossiysk Commercial Sea Port (NCSP) and oil trader Gunvor owned each 50% in Novorossiysk Fuel Oil Terminal. There have been plans announced to invest $100 million in a new fuel oil terminal with a construction start in 2010 and completion in two years.

In late January 2011, Transneft and the company Summa Capital completed the acquisition of controlling stake in Novorossiysk Commercial Sea Port. As part of this transaction NCSP has acquired 100 percent stake in Primorsk Commercial Port (Leningrad region), from the company Omirico (controlled by Transneft and by structure of Ziyavudin Magomedov). Omirico, in turn, acquired 100% of the company Novoport Holding Ltd., which owns a 50.1% stake in NCSP.