DAGESTAN, September 20, Caucasus Times – A group of foreign businessmen has arrived in Dagestan to consider a project of construction of underwater petroleum pipeline at the Makhachkala seaport.
The pipeline should be laid sixty meters underwater and about 8 miles off the coast according to the project for the conveyance of Russian petroleum products to oil tankers to transport them to Iran. That might have cut transportation costs down to $20 instead of $30 per ton, the board of Makhachkala seaport said in an interview with Caucasus Times correspondent.
The oil companies of Iran, Norway, Cyprus will invest in the project, which may cost at total $300.
The head of the republic Magomed Ali Magomedov has received the delegation of foreign partners in Makhachkala of Dagestan. A team of engineers has started to agree upon the project details. The construction works are expected to begin in October this year and completed by late 2005, when the pipeline would be put into operation, the officials said.