Russian “Transneft” has prepared a $360 million payment for contamination of “Friendship”

Российская «Транснефть» подготовила $360 млн на выплаты за загрязнение «Дружбы»

Russian “Transneft” reserved 23 billion rubles (about $360 million) in damages to shippers for oil pollution in trublood “Friendship” in April 2019, said in statements under IFRS

“The reserve is not an absolute legal obligation of the group prior to the Council making payments,” – said the company. Also there pointed out that the establishment of a reserve does not mean that the monopoly has responsibility for force majeure, which happened because of the “acts of third parties”.

The company expects that in the pretrial order, the consequences of the incident will be resolved in the course of the year, if the Council expressed interest in the proposed mechanism.

Earlier “Transneft” promised to indemnify the partners if they documented confirmed loss, their size and negative effects. The company announced that it is ready to pay compensation at the rate of $15 per barrel of substandard oil. The company then plans to recoup their costs at the expense of the culprits in the pollution of oil.

In late April Belarusian partners “Transneft” reported that in the oil pipeline “Friendship” there was a oil with a high content of chlororganics, which corrodes the equipment. Because of this, I had to interrupt supplies to Belarus, Poland, Hungary, Germany, Ukraine and the Baltic States and to displace low-quality fuel in Russia.

According to Transneft, the contamination occurred on a site Samara-Unecha was intentional.