Russian Railways expects state support from Russia’s Investment Fund to build freight branch lines as part of the high-speed passenger train project between St. Petersburg and Helsinki, according to Oleg Morozov, Vice-President of Russian Railways. Morozov rejected press reports that Russian Railways and Lukoil would build and finance the branch lines jointly, emphasising that the cooperation between the two companies in Russia’s North-Western region was on a completely different project, namely developing railway access lines to the distribution and shipping terminal Lukoil 2 on the island of Vysotsky in Leningrad oblast.

“The total investment required to build the freight branch lines is around 50 billion roubles,” said Morozov. “We expect to get half of the money from the government’s Investment Fund. On 2 July 2006, the project was approved by the Expert Committee on Public Private Partnerships at the Ministry of Transport and was sent on to for further approval before being forwarded to the Ministry of Economic Development. If this project is implemented, the economy in Russia’s North-West region will receive a major boost to its development.”

Russian Railways also expects state assistance on a series of other projects, including the tunnel between Komsomolsk-on-the-Amr and the Soviet Haven (the only rail access to the port of Vanino and the Soviet Haven), the electrification of the stretches between Karymskaya and Zabaikalsk (rail route to China) and between Trubnaya and Aksaraiskaya (an important port for access to Kazakhstan and the ports of the Caspian Sea and the Black Sea-Sea of Azov basin).

“I think our projects are fully competitive in the fight to get state support from the Investment Fund,” said Morozov.

Source: Press Release

Tags See All Tags Add New Tag...

Please Enter New Tags Separated By Comma's
  Or Close

Europe  Finland  Russian Railways  development