Russia's pipelines are worn out-standards agency
02 Nov 2006 15:15:27 GMT

MOSCOW, Nov 2 (Reuters) - Russian technical standards agency Rostekhnadzor warned on Thursday that almost all the country's oil and gas pipelines were in a critical condition, a possible sign of more shutdowns after the closure of a link to Lithuania.

"Russia's pipeline transport is in an unsatisfactory state. Environmental damage caused by oil and gas pipelines is inexcusable," Rostekhnadzor chief Konstantin Pulikovsky said in a statement.

He said pipeline safety measures conducted by pipeline owners were insufficient and Rostekhnadzor planned to strengthen its control over the pipeline system.

Rostekhnadzor is an independent federal agency for ecological, technical and nuclear monitoring. It is in charge of industrial safety issues and reports directly to prime minister.

Russia's crude oil pipeline monopoly Transneft , the world's largest pipeline operator, controls the vast majority of oil pipelines, while gas monopoly Gazprom owns all the gas routes.

Rostekhnadzor said most pipelines in Russia were built in the 1960s and 1970s and more than 40 percent of the trunk pipelines are over 30 years old, making them prone to corrosion.

More than 30 accidents have already happened this year, mainly due to exposure and corrosion, the statement said.

In July, Transneft shut down a part of the Druzhba "Frendship" pipeline to Lithuania, disrupting crude exports to the Baltic country and forcing the region's only refinery, Mazeikiu Nafta , to use more expensive sea supplies.

Transneft blamed the shutdown on a leak but analysts said the move was likely a Kremlin attempt to punish Vilnius after it allowed Poland's PKN Orlen to buy the refinery, a takeover target of several Russian oil firms.

In October, Transneft cut pressure in part of the Druzhba export pipeline to Europe, reducing oil supplies to Belarus, again following a leak.

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