Ukraine, Kiev, July 1 / Trend , A. Gasimova/
Refining Azerbaijani oil in Ukraine which borders on with several EU countries is profitable and promising, Ukrainian President's Special Envoy for Energy Affairs Bogdan Sokolovski told Trend correspondent.
"Over the past two years SOSAR expressed readiness to supply up to five million tons oil to Ukraine. Ukraine is, of course, interested in such potential and reserves," he said.
He said the negotiating with SOCAR for the production of oil products in Ukraine is underway. "While the Odessa-Brody oil pipeline is used in reverse mode, we have no ability to fully utilize this opportunity," Sokolovski said.
Research conducted by SOCAR experts to establish oil refineries in Ukraine is oriented in two directions, former Ukraine ambassador to Azerbaijan Boris Klimchuk said. They are conducted with regard to joint exploitation and refining of oil in Ukraine.
Azerbaijani experts are now studying possibility of Galychyna and Neftekhimik Carpathians refineries," Klimchuk said. Possibilities of Kherson refinery are also being studied.
Refinery, which Ukraine proposes SOCAR for the joint exploitation and oil refining, does not meet company's demand, SOCAR representative said earlier.
"Ukraine offers several plants for the joint operation, joint refining and joint investment. But they located deep in the territory of Ukraine. It is not suitable. It is not profitable to transport oil deep into Ukrainian territory and then export refined products back again to the sea," a source said.
SOCAR needs refinery located on the seashore so that it will be easier and cheaper to market oil products. The company can work with Ukraine in case the country allots an area on the seashore.
The construction of oil refineries along the coast has a great technological advantage in terms of organizing hydrocracking because it requires large amounts of water.
Ukraine has six refineries with capacity of 51.11 million tons a year.
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