Chevron has announced that it is increasing the incremental capacity of its 1505 km crude oil pipeline from Tengiz, Kazakhstan to Novorossiysk, Russia.

In partnership with the Caspian Pipeline Consortium (CPC), Chevron said the expansion project includes the rehabilitation of five existing pump stations along with the construction of 10 additional pump stations (two in Kazakhstan and eight in Russia). The project also includes constructing six new 26-million-gallon storage tanks near the existing four tanks in Novorossiysk, and replacing 88 km with a larger-diameter pipeline in Kazakhstan.

The enhanced infrastructure will almost double throughput with an additional 670,000 barrels of oil per day (bopd) by 2016, all part of the $5.4 billion CPC project.

"Since delivering its first cargo in 2001, the CPC pipeline has been a vital export route for the Caspian region," said Ian MacDonald, general manager of Business Development and Transportation for Chevron Europe, Eurasia and Middle East Exploration and Production. "For Chevron, the expansion will enable all of Tengizchevroil's current production, along with most of our equity production from Karachaganak, to be transported by the most efficient and cost effective route to world markets. Expansion will also facilitate future production growth in these projects."