Commencement of preparations for construction of product pipeline through Serbia - "OTF Contracting Co. Ltd" works on justification study and preliminary project

Public company "Transnafta" plans construction of the product pipeline system on Pančevo-Smederevo and Pančevo-Novi Sad sections. The investment is currently in the phase when the justification study, the preliminary project, and the study on influence on environment are being elaborated, and that job has been entrusted to Hungarian company "OTF Contracting Co. Ltd" from Budapest. The value of the contract is 245,000 EUR.

Let us remind that the memorandum of support for construction of 400 kilometers of the product pipeline through Serbia was signed at the beginning of February in Smederevo. In that way, transportation of oil derivatives will be moved from the roads into the underground pipeline between Sombor and Niš within the next six years, which will bring both financial and ecological advantages. The value of the investment is about 150m EUR.

Future pipeline should connect Sombor, Novi Sad, Pančevo, Smederevo, Belgrade, Jagodina and Niš. Terminals for dynamic servicing of the system with reservoirs will be built in Smederevo, Jagodina and Niš.

The first route, 34 kilometers long, will be built between Pančevo and Smederevo. It is the investment of 20m EUR whose realization should start the next year.

Construction of the pipeline and pumping units will lead to creation of 35-50 jobs in Smederevo.

Future product pipeline will have mainly the same route as the gas pipeline in the city, while additional 4.18 ha of land for construction of the route and pumping units should be provided in the next few months.

The second phase of the projects is economic, and it will ensure more economic, profitable, efficient, safer and quicker logistics for transportation of derivatives through Serbia.