After the signing of the Ukraine-EU Action Plan on 21 February 2005, experts from the European Commission, Poland and Ukraine met in Kyiv on 11 March 2005 at a trilateral technical meeting to review progress in the development of the Odesa-Brody-Plotsk oil pipeline project.

During the meeting, the experts reached agreement on the technical scope of work within the framework of an EU technical assistance project worth EUR 2 million, aimed at completing the technical, legal and economic studies necessary for the construction of this important transport corridor.

By supporting this infrastructure project, the European Union demonstrates its readiness to implement the Ukraine-EU Action Plan, in which the Odesa-Brody-Plotsk oil pipeline is identified as one of the priorities in the context of the integration of European and Ukrainian energy infrastructures.

Background: In May 2003, a Joint Declaration was signed by the Cabinet of Ministers of Ukraine, the Council of Ministers of the Republic of Poland and the European Commission in support of the Euro-Asian Oil Transportation Corridor Project. This Declaration established a trilateral European-Polish-Ukrainian expert working group whose task was to develop the project for the Odesa-Brody-Plotsk oil transportation system. At the industrial round table "Odesa-Gdansk: The Northern Dimension of Caspian Oil," the state oil companies of Poland (PERN "Przyjaźń" S.A.) and Ukraine (JSC "Ukrtransnafta") agreed to form a partnership to develop the concept for the project to extend the oil pipeline from Brody to Plotsk.

In November 2003, the governments of Ukraine and Poland signed an Intergovernmental Agreement on the use of the equipment of the Odesa-Brody oil transportation system and its integration with Polish equipment. This Agreement was certified by the European Commission. Finally, in July 2004, representatives of JSC "Ukrtransnafta" and PERN "Przyjazn" completed the registration of the LLC "International Pipeline Enterprise 'Sarmatia'."

EU technical assistance will make it possible to complete all the requirements necessary for the start of construction of the oil pipeline.