UkrTransNaft and PERN looking for financial backer for new pipeline

The pipeline would pump Caspian oil from Ukraine to Poland. The companies have established a company called Sarmatia which will prepare a business plan within six months. However, the companies do not have sufficient means to finance the investment and so are looking for potential partners. According to Cezary Lewandowski from PERN, the greatest interest in the investment was reported from companies exploring oil resources in Kazakhstan, namely, Chevron Texaco and Kazakh national concern Kazmunaigaz. If the investors join the project and secure its financing, construction could begin in 2006 and would last for 2-3 years. The Polish-Ukrainian investment has already received support from the European Commission, which agreed to grant EUR 2 million for background studies of the project. (Rzeczpospolita, p. B3) E.B.