Russian project to keep Latvian oil operations high

RIGA - Turnover at the Ventspils Nafta oil terminal is expected to stay at current levels following the completion of the first stage in Russia's Baltic Pipeline System project, according to the head of Russia's Transneft, the company responsible for the project.

Transneft President Semyon Vainshtok said at talks with Latvian Economy Minister Aigars Kalvitis on June 14 in Moscow that oil extraction in Russia was growing and that the country would need both the Primorsk port and the Ventspils port to meet the expected oil export capacity.

Kalvitis and Vainshtok agreed on the future exchange of information between Ventspils Nafta and Transneft about investment and development plans.

Vainshtok also said his company is planning projects totaling $1 billion.

A spokesman for the Ministry of Economy told the Baltic News Service that the talks, which focused on the role of Ventspils Nafta and other Latvian companies following the first stage in the BPS project, was the first meeting between a Latvian government representative and a Transneft top executive.

Transneft operates Russia's main oil pipelines.

The first stage in the pipeline is expected to be operational by year's end.