Russian Ports and Terminals on the NEP/NSR (by Karl Magnus Eger)

There is uncertainty when it comes to the exact number of ports along the NEP/NSR, open to foreign vessels. The same uncertainty also applies to the operational status of the open ports. According to the Russian Government, 41 Arctic ports are open to foreign vessels and additional ports where regulated for visits of foreigners on board foreign cargo ships or tankers with Russian crew members are allowed¹ . More than half of the 50 ports on the NSR are today out of operation² .

Figure 5.5: Ports and Terminals on the NEP/NSR

 

The data on the different ports and terminals have been collected from a range of sources. All the NEP/NSR ports cannot be presented in the subsequent sections. Hence, we have tried to focus on criteria such as: the port’s operative status, openness to foreign vessels, available services, quality of services, control inspections, connecting infrastructure and data on cargo turnover³ . More details on the various ports and terminals are presented in Appendix 5, “Arctic Ports and Terminals”.

1. Ports and Terminals in the Barents Sea

A large percentage of today’s intra-Arctic and destination-Arctic shipping activity using the NEP, involves transportation through the Barents Sea. Development of port capacities in the Russian part of the Barents Region is directly connected to the increase of petroleum exports. In 2008, the ports/terminals of Varandey, Arkhangelsk, Vitino and Murmansk, directly or through the offshore terminals in the open areas of the Barents Sea, exported about 10 million tons of crude oil and petroleum products (in 2002 it was 4 million tons; and in 2004, the amount was almost 12 million tons). In 2009, the volume of oil exported to the western market through the Barents Sea was estimated to be approximately 15 million tons⁴ .

The Port ofMurmansk⁵

The Murmansk seaport is one of the largest transportation hubs in Russia and had a profit of €22.5 million in 2008⁶ . Of all the western NEP ports, the Sea port of Murmansk is the only ice free port that operates on year round basis⁷ . Large amounts of oil, coal, minerals, metals and other type of cargo are shipped in and out of the Murmansk port every year. In terms of Arctic marine traffic, the port is an important shipping destination along the NEP/NSR, and might be for any future traffic along the Arctic Bridge between Murmansk and Churchill.

Murmansk NSR relevance is twofold:

1) Most deliveries to the NSR settlements during the summer season originate in Murmansk: Food, equipment and general cargo are loaded onto cargo ships in the port, and fuel products for the NSR are loaded onto tankers at the oil terminals close to Murmansk⁸ .

2) Murmansk is the end terminal of the Dudinka-Murmansk line which is operated year-round by cargo vessels and ice-breakers, transporting oil and non-ferrous ore from the Norilsk mines to the nonferrous metallurgical industry on the Kola Peninsula.

The main limiting factor for the port of Murmansk is its inability to accommodate vessels larger than 45 000 dwt, most of the berths being designed for vessels around 10 000 dwt. Increasing the port’s ability to accommodate larger ships is important also for the NSR, as vessels of approximately 50 000 dwt are considered optimal for NSR transit traffic, with potentially even larger vessels later if icebreaking technology improves and if larger icebreakers enter operation⁸ .

Moreover, in 2006 the design was accepted for a new oil complex and dry cargo named Severny (The northern) Port, located at the Pechanga Bay on the north coast of the Murmansk region. The project designer, Sevneft Company, consider that the complex will incorporate 4 terminals⁷ . The planned total freight turnover was set to 65 million tons a year, with the perspective to increase the capacity up to 200 million tons. Sevneft planned to start the construction in 2008, such as the port could start operating in full scale by 2015. However, since 2006 the project has not moved any further⁴ . Nonetheless, in September 2009, the Murmansk governor Dmitry Dmitriyenko announced a 150 billion RUB (€ 3.4 billion) investment plan for Murmansk seaport⁶ . As indicated, there are major development plans, but it remains to be seen whether the plans will become a reality in the future.

The Kola Bay Terminals

In 2004, two new coastal oil terminals for offloading oil from railway tanks into sea tankers were put in operation at the port of Murmansk, located at the Murmansk Sea Fishery Port (Location A, Figure 5.6) and at the former Ship-repair factory (Location B, Figure 5.6). The same year the two terminals received 3.7 million tons of export oil by rail and sent it to offshore transhipment terminal in the Kola Bay with the shuttle tankers.

In addition, there are four offshore transhipment terminals in the Kola Bay. The first offshore oil transhipment, terminal RPK-1 (Location C, Figure 5.6), was constructed by the Murmansk Shipping Company in 2002. Oil is delivered to RPK-1 from terminals in Varandey, Vitino, Murmansk Sea Fishery Port and Ship repair Factory by shuttle tankers. The second offshore terminal, RPK-2 (Location D, Figure 5.6), in the Kola Bay was built by the White Sea Service Company, and the largest terminal RPK-3 Belokamenka (Location E, Figure 5.6) was put in operation as in March 2004. Belokamenka is the key unit of the northern oil export channel and receives oil from the terminals in Arkhangelsk, Varandey and the Ob Bay. In 2008, Belokamenka exported 3.7 million tons of crude oil. Almost half of it came from the new Varandey terminal⁴ . Currently, oil is transported by rail to a new terminal, RPK-4 Mokhnatkina Pakhta (location F, Figure 5.6). In 2007, it shipped 98 000 tons of heavy fuel oil for export⁴ .

Figure 5.6:  Existing and Planned Terminals in Murmansk and the Kola  Bay⁴  

 

2. Ports and Terminals in the White Sea

The Port ofArchangelsk⁹

Archangelsk is a significant seaport in the White Sea. Traditionally it has been a central port for export of timber, but this export has been extensively reduced during the last 20 years¹⁰ . Arkhangelsk was traditionally also the most important gateway for transport to the NSR and a main port for deliveries to NSR settlements. This position has now clearly been lost to Murmansk, even though considerable traffic takes place during the summer season. One of the main drawbacks is that icebreaker escort is needed large parts of the year, which is a serious shortcoming compared to Murmansk. Other shortcomings include the shallow harbour (maximum draft 9 m compared to Murmansk’s 16 m).

However, it was recently announced that a deep water port probably will be built at the island Mudyug of the Dvina Gulf outside the town of Archangelsk. Construction of the new port is discussed in connection with the Belkomur Railway, which is a huge project that includes a railway connecting Arkhangelsk with Komi and Perm. This will shorten the distance between Siberia and the White Sea ports by 800 kilometres and open new efficient ways for cargo flows from the Urals and Siberia industrial zones to Europe¹¹ .

Figure 5.7: The White Sea Ports and   Terminals¹²

 

Onega; Severodvinsk; Talagi; Arkhangelsk; Vitino

In addition, and since 2002, Rosneft, the owner of the Arkhangelsk regional petroleum storage depot in Talagi (see Figure 5.7), has been involved in oil export. The same year, the terminal in Talagi shipped 1.9 million tons of oil and oil products for export. In 2007, Talagi sent 3.2 million tons of crude and petroleum products for export (2.4 million tons of crude via Belokamenka). Rosneft intends to increase the capacity of the Talagi export oil terminal to 12 million tons a year⁴ . The Onega Bay of the White Sea (See Figure 5.7), established by the Volgotanker Company, was used for export oil transhipment operations during some months of the summer navigation in 2003 only. However, in 2008, Volgotanker applied for, but did not get the permission from the Russian authorities to restart the oil transhipment operations in the Onega Bay. Later, the same year, Volgotanker was declared Bankrupt⁴ .

In 2003 the Tatneft Company planned to build an oil export infrastructure in Severodvinsk (see Figure 5.7). The sea depth in the area allows a transport of 40 000 tons deadweight tankers. Tatneft planned to use the terminal for export of its own oil delivered to Severodvinsk by railway. However, later the company notified that they changed their plans and started investigates other possible location⁴ .

The Port ofVitino¹³

Vitino seaport (see Figure 5.7), in the Kandalaksha Gulf of the White Sea, was the first private seaport in Russia and it has been the major contributor to oil exports through the Barents Sea during the current years. The Port specializes in storage and transhipment of such petroleum as black oil and gas condensate. Oil is also delivered to the port of Vitino by rail mostly from the terminals in Yaroslavl where it arrives via trunk pipelines of Transneft. In Vitino the oil is shipped to export directly or via the offshore transhipment complex in the Kola Bay. In 2007, Vitino exported 3.9 million tons of condensate and light oil products. And in 2008, 4.4 million tons (including 0.7 million tons of crude) were sent to big European ports directly or with transhipments in Norwegian Sarnesfjord in the Barents Sea⁴ . Vitino has upgraded the infrastructure significantly during the last ten years. Still, one of the main shortcoming, similar to the port of Archangelsk, is that icebreaker assistance into the port is required during winter navigation.

3. Ports and Terminals in the Pechora Sea

Varandey¹⁴ 

The oil loading terminal in Varandey (see Figure 5.8) was put in operation by Murmansk Shipping Company in 2000.  In 2004, the Varandey terminal shipped 560 000 tons of oil that was delivered by shuttle tankers to the transhipment terminal in the Kola Bay. The opening of a new Varandey terminal in 2008 was the most noteworthy event happened during the current years in the Russian Arctic oil shipment⁴ . The offshore terminal, operated by Lukoil, can alone double the annual volumes of oil shipped for export through the Barents Sea⁴ . The same year two icebreaking ships were built for Lukoil to support all-year-round oil shipment operation at the Varandey terminal. By 24^th of January 2010, 10 million tons of oil has been shipped through the oil terminal Varandey in the eastern part of the Barents Sea since the start-up in 2008¹⁵ . Varandey’s shortcoming is its shallow waters, which only allow access to smaller vessels (maximum 60 000 dwt.)⁸  Sovcomflot intends to carry out a trail shipment of oil from the Varandey terminal via the NSR to Japan this summer (2010). Lloyd’s List reports that Sovcomflot will send one of its purpose-built ice-classed shuttle tankers with the capability to break through 2.5 m thick ice without icebreaker assistance¹⁶ .

Kolguev¹⁷ 

Peschanoozerskoye oil and gas condensate field on Kolguev Island (see Figure 5.8) is the first production in the Nenets Autonomous Region. The first oil shipment from Kolguev was conducted in 1987. Since 2002 oil has been shipped by tankers for export, either intra-Arctic, by transhipment in the Kola Bay, or destination Arctic shipping are directly to Rotterdam. Shortcomings include the shallow harbour (maximum draft 10.5 m compared to Pirazlomnoye 20.5 m).

Pirazlomnoye¹⁸

Pirazlomnoye (see Figure 5.8) is a large oil field among the proven oil reserves on the Pechora Sea shelf. Two icebreaking supply vessels were delivered to Sovcomflot in 2006 intended to support operations in Pirazlomnoye. There are major development plans and Gazprom plans to start the oil production in 2011⁴ , but it remains to be seen whether the plans will materialize.

Figure 5.8: The Pechora Sea and the Oil  Terminals¹²

 

Kolguev

4. Ports and Terminals in the Kara Sea

NovyPort¹⁹

Novy Port (see Figure 5.5) has been developed in connection with the development of oil and gas fields on the Yamal Peninsula. Its importance relates mainly to the summer season (June-October). From 1979 until the early 1990s, it was a major port for import of large diameter pipes and equipment from Western Europe and Japan. Supply of oil and gas equipment to the Yamal Peninsula peaked in 1988 with 432 800 tons. The Port may be used for transhipment between river barges from the Ob River and smaller seagoing vessels. Statistics is limited, but present port activity is believed to be very low. In 1998, the port had a recorded turnover of only 724 

tons⁸ . Total cargo turnover for the recent years are not available. In September 2009 the Beluga Group vessels sailing from South Korea via the NSR delivered heavy modules at this port. Shortcomings include the shallow harbour (maximum 7 m.)

Ob Bay

In 1999, the RITEK Company made the first transhipment of export oil in the Ob Bay

(see Figure 5.5). Since then, the oil extracted in the Western Siberia oil fields is piped via local pipelines to the Ob River, and then delivered by Lenaneft river-sea tankers to the Ob Bay in the Kara Sea. From there the oil is transhipped into shuttle tankers of 20 000 tons deadweight. Shuttle tankers transport oil intra-Arctic via the NSR to the offshore oil transhipment terminal Belokamenka in the Kola Bay¹² . In 2008, 238 000 tons of crude was sent westwards by the NSR⁴ .

Yamburg

Yamburg (see Figure 5.5) is located just south of Grdiny Point in the Ob Bay. A channel with a depth of 5.5 m leads to the port. The port is equipped with floating and motor cranes, and hospit args= args= args= args= args=al facilities are available. The port is mainly servicing the nearby oil and gas fields and a railway track connects the port with the giant gas fields of Yamburg and Noviy Urengoy. Yamburg is connected by a road and railroad to Novy Urengoi from where there are is regular flights to Moscow. Port owner/operator is unknown; neither any data of port turnover was found. Nonetheless, the port was involved when the Beluga ships, in September 2009, sailed from South Korea via the NSR delivered heavy modules in the Ob River.

Dikson²⁰ 

Dikson Seaport is situated in the south-eastern Kara Sea near the entrance to the Gulf of Yenisei and owned by the Norilsk Nickel Company (see Figure 5.5). The port is specialized for handling river ships. Infrastructure includes airport, hospital, radio relay line to Dudinka, radio aids to navigation and a rescue team. Furthermore, Dikson has the location to build up infrastructure for development of oil and gas production in Taymyr and the Kara Sea. Due to its relatively deep harbour (15 m water depths are located at reasonable distance offshore), Dikson has been mentioned as a suitable location for a new oil export terminals and for oil and gas condensate from the Vankor field. Rosneft had plans to construct the oil pipeline Vankor-Dudinka-Dikson and an oil loading terminal in Dikson. The capacity of the projected 710 km. long pipeline and the terminal was to be 18 million tons a year. Further, oil supposed to be delivered intra-Arctic by shuttle tankers to transhipment terminals in the Barents Sea, and then by line tankers to the western market. However, in 2006, the Vankor oil transportation scheme was changed. Oil extract will instead be transported by the 550 km. Vankor–Pur Pe pipeline⁴ . The western Marine Operations Headquarters is also located at the port, performing control inspections for any foreign vessels sailing on the NSR from the west.

Dudinka²¹ 

The port of Dudinka (see Figure 5.5) is situated on the Yenisei River approximately 370 km from the mouth of the river and operated by the Norilsk Nickel Company. There is both a sea-vessel port and a river-vessel port available. Dudinka has adequate connecting infrastructure, airport as well as the terminus of the Dudinka–Norilsk railroad. The port’s main function is to export non-ferrous metals and ores from the Norilsk industrial complex located 50 km. to the east, and to import supplies to the city. However, there are plans for future developments of the port. When new oil and gas fields are developed in Taimyr and Kara Sea, the plans for constructing oil loading terminals in the ports of Dudinka and may come through. In 2002-2006, Dudinka shipped 20-40 thousand tons of oil a year for export via the Barents Sea⁴ . Norilsk Nickel has built a fleet of six double-acting ice-breaking bulkers that allow it to carry out year-round operations between Dudinka and Murmansk, independent of icebreaker support. The port is reported to be one of the few NSR ports in adequate technical condition⁸ .

Igarka²² 

After NSR was opened for foreign vessels and during the first half of the 1990s, Igarka was the only port on the NSR permanently open for foreign vessels, thus its historical importance²³ . Most of the export out of Igarka has traditionally taken place by ships of the Northern Shipping Company. The port is specialized on export of timber, and its main purpose has been to load and tranship timber and wood products both from the Igarka plant and from the upper reaches of Yenisei River. Igarka was a significant port in the 1970s and 1980s, reaching a cargo turnover figure of approximately 800 000 tons in 1976. Foreign exports have also been considerable. However, traffic dropped sharply in the 1990s to an average around 40-60 000 tons annually. Data from recent years are unavailable, neither is any data of the port⁸ . The port is open for navigation during summer season (June-October) only and their shallow harbours just allow vessels with draft of up to 8m.

5. Ports and Terminals along the Laptev Sea

Tiksi²⁴ 

Tiksi is one of the principal ports for accessing the Laptev Sea. A large part of the activity consists of transhipment between sea vessels and river barges going up the Lena and Yana rivers. The Tiksi port has not been shipping oil for export along the NSR since 2002. However, it is interesting due to its logistics, and as an example on how East Siberian oil can be delivered to the western markets. In 2001, the company Sakhaneftegaz in cooperation with the Murmansk Shipping Company started oil loading in Tiksi for shipping export via the NSR. The first 19 000 tons of crude from Talakanskoye oil field in the Eastern Siberia were loaded to the tanker Magas and sent to the western market. The oil produced at Talakanskoye field was delivered via 110 km. local oil pipeline to the oil refinery and the terminal in Vitim on the Lena River (see Figure 5.9). From there, oil was transported by the Lena River with Lenaneft tankers of the Lena River Shipping Company to oil storage facilities in the port of Tiksi. In Tiksi oil was shipped to sea tankers and delivered to Rotterdam. Recently, oil from Talakanskoye field is piped in reverse mode by a launched 1100 km. long part to Tayshet. When the East Siberia Pacific Ocean- oil pipeline is completed, Talakan oil will be piped eastwards⁴ . However, the AMSA report stated that after completion of construction the railway to Yakutsk on the river Lena (about 2011), the role of the port of Tiksi on NSR will most likely increase⁷ . Recent data of the port is limited.

Figure 5.9: Port of Tiksi and the Lena River 

6. Ports in the East Siberian Sea

Pevek²⁵ 

Pevek is one of the most important of the ports of the eastern NSR. As a control headquarter for ships that enter the NSR from the east and as a centre of NSR infrastructure because it has bunker, supply and repair facilities for NSR cargo vessels and icebreakers. The port is operational 150 days per year. However, all year round operation is possible with the assistance of icebreakers. Specialization is cargo handling for the extractive industry of the Chaunsky region and Pevek city, as well as cargo transhipment and storage. Pevek hosts the eastern Marine Operations Headquarters (MOH), operated by the Far Eastern Shipping Company , and located onboard one of FESCO’s icebreakers stationed in Pevek.52 The ports authority stretches as far as 125^o east, just west of the Lena River. Past this point, the western MOH, based in Dikson has control. The headquarters are responsible for managements of all the NSR voyages from east (i.e. convoys, provides up to date ice information etc.). Despite its importance as the eastern MOH, the level of cargo handled in the port has been declining rapidly in recent years, although there is still gold mining around Bilibino and Leningradsky.53 Port reconstruction and construction of new objects of port services are required.Recent statistics from the port are limited.

7. Ports in the Bering Sea

Provideniya54

The port of Provideniya is situated in the deep Provideniya Bay on the Chukotka Peninsula. The overall depths in the bay are 30–35 meters, and 9 meters near the berths. The port is operational May to January with icebreaker assistance. Tug assistance are available and the Provideniya Hydrobase provides navigation information. The port has been considered the eastern gateway to the NSR, being the eastern start point for westbound convoys. The technical standard is reported to be insufficient and will require significant improvements in order to increase its relevance to the NSR.

8. Some Concluding Remarks

There are some 50 ports on the NEP/NSR, but only a very few can meet the standards required by the international shipping industry. The majority of ports are ice covered most of the year and cargo vessels need icebreaker assistance in order to enter. The main problems are poor technical standards, lack of sufficient port facilities and adequate water depth and lack of sufficient connecting infrastructure. Recent investments and developments of NEP/NSR- ports are primarily related to current or planned oil and gas activities. There are currently no adequate ports on the NWP.

Karl Magnus Eger, 2010, Russian Ports and Terminals on the NSR, CHNL.©