Russia approves oil pipeline to bypass Belarus

The Russian government today approved the construction of the second Baltic pipeline network. The resolution has been signed by Russian PM Mikhail Fradkov. The Russian Ministry of Industry and Energy together with the Transneft company have been ordered to draft all the necessery paperwork for the project.

The project to build a pipeline between Unecha and Russia Baltic port town of Primorsk received political backing from the Russian government in early January 2007 during an oil row between Russia and Belarus. From January 8 through January 11 Russia stopped pumping oil to Europe, after Belarus imposed higher customs duties for the transite of oil through this country.

The two countries later signed a deal, which allowed Russia to resume oil supplies to Europe. The alternative piepline project costs approximately $2 billion.  If constructed, the new pipe could replace completely the Druzhba network on the territory of Belarus, according to Interfax.

Інтэрфакс