www.slovgas.sk Journal of Gas Industry

Journal of Gas IndustrySLOVGASVolume XVI5/2007, October35 years of International Transportof natural gas in Slovakia became an opportunity not only for remembering the past but also for a look into the future goal of projectsin SPP - preprava, a. s. is to increase efficiency, safety and reliability of operations.Projects of New Pipelinesare motivated partly politically and are difficult to compete with. In spite of this, Mr. Ing. A. Rau, Chairman of the Board of Directors of SPP -preprava, a. s., is convinced that the system of their gas pipelines will remain the „Highway for Russian gas” in the long-term perspective.Priority of Next Period in Transmissionof natural gas in Slovakia is according to General Director of SPP - preprava, a. s., Mr. Ing. P. Janočko fulfilling of the vision: To bea key and established player in the European transmission of gas.www.slovgas.sk

Future of Natural Gas Transmission• Even if gas supply stability is deemed to beone of the most important elements in internationalgas transmission business, gastransmission price stability makes anothersignificant factor. The regulation is increasinglydetermined by EU. What is your perceptionof EU regulatory policies?- Our transmission tariffs are based on internationalbenchmarking. Through this we are able to ensurecompetitive prices and long-term visibility forour customers. As far as the supply of the Slovakmarket is concerned, we have to bear in mind thattransmission tariffs only represent 2 - 3 % of finalgas prices for household customers.It is true that regulation is more and more determinedat a European level. What I am missingin this respect is a clear differentiation betweenelectricity and gas markets. To my mind, the currentone-size-fits-all approach does not sufficientlytake into account that the EU is very dependenton foreign gas producers. In the electricitysector the situation is different as most of theproduction facilities are located within the EU. Inaddition, especially for countries like Slovakia thelack of competition in the gas market is due to thedominance of one single foreign gas supplier andnot to any discrimination in the area of network access.Thus, I consider further regulatory interventionsin gas transmission business like they havejust been proposed by the European Commissionas a step in the wrong direction. The focus shouldrather be on the full implementation and applicationof existing rules.• It is very demanding to predict precisely thescenario of future natural gas transmissiondevelopment through Slovakia. It is highlypredictable that natural gas consumption inWestern Europe will increase; the routes andthe sources however are still questioned. TheBaltic gas pipeline shows itself to be an actualproblem. Is SPP - preprava, a. s., ready forthis competition?- SPP - preprava and its predecessors respectivelyhave offered safe and reliable transmission servicesat competitive prices for more than 35 years.And the efforts we are currently making in operationand maintenance (e.g. investments in newtechnology) and customer management (e.g. implementationof a commercial dispatching unit)clearly show that we are well-prepared for competition.On the other hand, big projects like theNord Stream pipeline through the Baltic Sea are atleast partially politically motivated. Nevertheless,I am very optimistic that the pipeline system operatedby SPP - preprava will remain the „Highwayfor Russian Gas” in a long-term perspective.• What most important investment projects fornext 5 years are currently planned by SPP -preprava?- The two most important projects we are currentlypreparing relate to our compressor technology.First of all we will install two new compressorsat Velke Kapusany in order to replace some ofthe old heavy-duty gas turbines. Secondly, we willswitch from local manual control of the big compressorsunits (Cooper Rolls, Nuovo Pignone) tofully automated control systems managed by ourcentral dispatching in Nitra. Both projects are intendedto increase efficiency, safety and reliabilityof operation. Implementation is expected for endof 2009. The total investment for these two projectsamounts up to roughly 3 billion SKK.• What do you deem to be a priority in naturalgas transmission in Slovakia and generallyin Europe?- The European Commission is currently focusingon liberalization of energy markets, securityof supply and protection of the environment. Wefully support these three pillars of the EU policy. Atthe same time, we believe that some of the measuresproposed by the European Commission forachieving the above-mentioned goals are not appropriateand do not fully respect the principle ofproportionality (e.g. ownership unbundling). Priorityshould therefore be given to creating a stableregulatory framework at the European level aswell as at the national level. Such a stable regulatoryframework is important for fostering new investmentin infrastructure. In this respect, we shouldalways keep in mind that gas transmission is avery capital intensive business for which we needstable rules and long-term visibility.• For gas transmission networks, importantelements incorporate not just equipment, machinesand pipelines, but also the people. TheSlovak gas professionals have always beenconsidered to be highly qualified experts. Canyou see any gaps in their professional educationenhancement and any possibilities in increasingtheir affinity to the company?- I can really confirm that there is high expertisein gas industry in Slovakia. Therefore, it is also aspecial honor for me to be a member of the Boardof Directors of SPP - preprava. At SPP - preprava,we can definitely rely on highly qualified and motivatedstaff. In addition, there is a very high degreeof loyalty to and identification with the companyamong our employees.We have to take into consideration though, thatjob requirements today are changing more rapidlythan 10 or 20 years ago. In addition to finding optimumtechnical solutions, commercial, legal andregulatory aspects increasingly have to be takeninto account as well at all management levels. Ofcourse this also means that information managementhas to be improved within the company inorder to make sure that our people have access toall relevant information.Interview prepared by:Ľudmila Buláková5/2007 • SlovgasThe compressor station in Veľké Kapušany5

Future of Natural Gas Transmission Slovgasin case of the gas pipeline Jamal. It did notendanger the Slovak transmission markedly.Do you believe that optimists are right?- A natural endeavor of Gazprom is to diversifytransmission routes of Russian gas to WesternEurope. This effort is manifested also by shareholderparticipation in these projects. The firstsuch route was the gas pipeline Jamal throughBelarus and Poland to Germany. Putting thisgas pipeline into operation has caused, and stillcauses, reduction of transmission through the territoryof Slovakia. In my opinion, the constructionof the Baltic gas pipeline will result in further reductionof transmission for this client through ourterritory in the direction of the Czech Republic. It isa fact that we have to cope with and prepare for.On the other hand, new customers who are startingto utilize our transmission capacities are startingto emerge. I firmly believe that an expected decreasewill be partly compensated by new contracts.• The future of the transmission of naturalgas in Slovakia depends on several factors.The long-term transmission agreement withGazprom Export is a key factor. The currentagreement is valid only until the year 2008.You yourself have suggested in one of yourpresentations that it is the construction ofthe Baltic pipeline that was behind the increasedself-confidence of the Russian partnerwho has more options of transmission ofits gas to Europe. How do you view results offurther negotiations on long-term transmissionagreement in this context?- Self-confidence of the Russian partner washigh in the past, too. Of course, the more possibilitiesof transmission of Russian gas, the better thenegotiating position of Gazprom Export is. On theother hand, competitive prices, long-term reliabilityand safety of transmission, flexibility and highlyqualified staff are undeniable advantages of theroute through Slovakia that we have to utilize in negotiationswith our client.• 35 years of transmission is not only an occasionfor reflection but mainly a reason forlooking at what is ahead of us. What do youconsider most important from the point ofview of transmission of natural gas in Slovakia?- Priority of the forthcoming period will be fulfillingour vision: To be a key player in Europeantransmission of gas and be recognized as such.We want to fulfill this vision on four levels:1. By stabilizing the value of business activity intransmission.2. By developing the market position of SPP -preprava, a.s. in a favorable regulatory framework.3. By ensuring a safe, reliable and efficient transmissionof natural gas.4. By adapting organization abilities with regardto external development and internal resourceswhilst ensuring that existing professional expertiseand know-how remain in the company.Key goals and projects are mainly: concludingthe long-term agreement on the transmissionof natural gas, automation and compression ratioincrease at the compressor station in VeľkéKapušany. Results of these goals and projects willinfluence the future activities of our company, itsstructure, technological base and results to a significantdegree. Energetic, regulatory and environmentallegislation will influence our activity toa large extent. We want to participate actively toits creation.• You have been tied with the SPP name. Howdo you view the beginning of a discussionregarding a change of name and logo of thecompany SPP - preprava, a.s.?- During the years of its existence, SPP namehas been through periods that were very successfuland SPP was perceived very positively and periodsthat were connected with negative causes,with unpopular but inevitable increase of the priceof gas when many in Slovakia started to perceiveSPP more negatively.The new company SPP - preprava, a.s. wasformed after the legal unbundling of the Transit divisionand the company SPP - distribution, a.s. byunbundling of distribution activity. It should be admittedthat not many people in Slovakia as well asabroad can tell the difference between these companies.SPP - preprava has the prevailing part ofits clients abroad and therefore it is reasonable tothink about whether the current name conveysour position of key transmitter of Russian naturalgas to Europe suitably. Experience shows thatthe name „SPP - preprava” is not understandableand eloquent in this sense. Besides that, internationalcompetition in the transmission of Russiangas (Jamal, Nord Stream - through the Baltic Sea,Blue Stream) as well as an extent of regulatory interventionsof the European Commission in Brusselsincrease. Marketing activities on internationalscale therefore start to be of key significance for asuccessful future of our company.If we want to be perceived as a company of Europeanstature in the area of transmission of gaswe have to diversify both by a name and a logofrom the mother company that is fully concentratedon the activities of the purchasing and selling ofgas today. Both a name and a logo should conveyour position of the biggest transmitter of Russiangas to Europe, convey our activity, competitiveness,stability, reliability and should be sufficientlyunderstandable to our clients, European operators,gas companies and authorities in Brussels.• Your credo is to respect people and appreciateresources. What is your idea of practicalimplementation of this idea in your workas General Director of the company SPP -preprava, a.s.?- We should fulfill the mentioned values inour everyday work so that these values do notbecome only posters on visible places in ourbuildings . People are our biggest resource. Creatingof a friendly and partnership atmosphere atworkplaces that will create conditions for mutualconfidence, appreciation, respect and value of thework of others, willingness to mutually cooperateand help is my goal and - I firmly believe - that ofmy colleagues, too.I believe that correct communication with an effortto understand and mainly listen to others isa key to success. Every body should have a chanceto express his or her opinion without being afraidthat it would have any negative effects. I also expecta proposal of how to solve problems andconflicts from everybody. The feedback - whethernegative or positive - and the adoption of correctivemeasures must also be a part of communication.The human soul is very sensitive to injusticeand therefore a subjective appraisal of performanceshould be restricted and a fair and honestapproach without prejudice should be applied.When we speak about the efficient utilizationand honoring of resources - that means property,financial and work means, time, environment, information- then it is again about people. Relationshipsof employees to resources that the companydisposes of is becoming one of the paramountsuccess factors. I am confident that that the bestway to honor resources of our company is to treatthem as if they were one´s own. Upbringing andnurturing of this relationship is a principal and isalso a very difficult task for the future. It is a greatchallenge for me and my colleagues.Interview prepared by:Ľudmila BulákováPanorama view of gas coolers in the compressor station CS02 Jablonov nad Turňou5/2007 • Slovgas7

Operation & Maintenance AreasVeľké Kapušany– the Inlet Gateof Natural Gas to SlovakiaThe compressor station in Veľké Kapušany areais one of the biggest in Europe and from thepoint of view of position in the transit system, it isone of the most important on the route of the internationalgas pipeline, which runs through SlovakRepublic. The station is situated approximately3 km south of Veľké Kapušany town, not far fromthe Ukrainian border. From 1971, when the plantwas built, its development was very dynamic, andin individual stages it represented the increase ofthe transportation outlet. The last big changes inthe organization structure occurred at restructuringand optimizing in 2004. They brought unprecedentedpossibilities and a turn in the work of all.The department HPSA specific feature of Veľké Kapušany in comparisonwith the others in the framework of SPP -preprava, a.s., is the existence of the border handingover station (HPS) of natural gas. Practically,it is the inlet gate, though which natural gas comesfrom Ukraine to Slovakia. Priority position of HPS,from the technical viewpoint, is characterized bythe fact that a shutdown of HPS at the transit systemoperation has not happened yet, but this is notthe case of CS.HPS provides the measurement of amount andquality of incoming natural gas though the systemof transit gas pipelines at HPS 01 and through internationalgas pipeline Bratstvo (MŠP) at HPS 02,service and operation of pipeline systems of thepipeline yard HPS 01 and HPS 02 including the filtrationstation.The Fire Fighting DepartmentThis department provides preventive and repressiveactivity. Preventive activity is focused on theprevention of fire origination, on maintenance ofMetering lines at HPS Veľké Kapušanypermanent operational ability of devices and meansneeded for the prevention of fires and, last butnot least, fire-fighting assistance service at workwith open fire. Repressive activity is focused especiallyon the liquidation of extraordinary eventssuch as fires, explosions, leakage of crude oil andother damaging substances, and on maintenanceand operation of devices and instruments neededfor fire extinguishing. In the framework of repressiveactivity the physical preparation of members ofthe corporal fire brigade is made.Department of the Line Part SečovceEqually as individual lines of transit gas pipelinewere developing, also centres for their operationand maintenance were built. The centrum inSečovce which belongs to Veľké Kapušany, startedits activity in small village Slanec at the foot ofSlanské pohorie. In 1975 it moved from Sečovce,however rooms did not meet requirements, sothey started to build new ones.The department with its headquarters in Sečovcedeals with maintenance of the line part TP, itmeans from borders with Ukraine, through CS01Veľké Kapušany up to TU 11 Belža. In sectionTU 1 - CS01 we maintain 4 lines TP in length approx.7 km with diameter of the pipeline 1,200 mmand 1,400 mm. In 2006, we were assigned twoother lines with a diameter of 700 mm, MŠP andgas pipeline Užhorod - Vojany. In section CS01 VeľkéKapušany up to TU 11 Belža we keep 5 TP linesin operation. A part of the new line is also createdby 5 upper river-crossings and 2 branches to MŠP.The upper river-crossing through Ondava 240 min length is one of the longest in central Europe.The length of the transportation network in oursection is 350 km with a diameter of 700 mm,1,200 mm, and 1,400 mm.The view of Cooper Rolls turbo-aggregatesDepartment of Operationand MaintenanceThe department is responsible for reliable andsafe transportation of natural gas through CS inaccordance with instructions from DC Nitra. It providesnot only the start and the shutdown of gasturbines, controlling activity of technological devices,autonomous maintenance, but also the analysisof failures and emergency shutdown of machines,monitoring of the operation.Workers in sections of mechanical and electricalmaintenance provide plans of preventive maintenance,as well as the implementation of correctivemaintenance and also elimination of failures,which appear on technological devices.Section of metrology and control systems, whereprofessionalism, exactness, knowledge of technologyand theory dominates, has the aim to maintaintechnological devices from the viewpoint ofsafety, reliability, and management on a high level.The brain of the whole department is the Sectionof technological assurance. Direct communication,flexibility, professional ability, collective work, theseare the positive features of this section. Workersof the department are responsible for compilationof the annual plan of costs within the department,the plan of preventive maintenance for the sectionof mechanical engineering maintenance, electricmaintenance, I&C, metrology, and controlling systems,and the work plan for continuous operation.Regularly they assess appearing failures and technicalproblems, and propose solutions.Unit of Technological AssuranceThe task of the unit of supporting services is to integrate,support, and inspect all processes and activitiesin relation to safety and protection of health atwork, ecology, archive keeping, registration system,and chemistry services.The department is responsible for the fulfillmentof processes dealing with the introduction of qualityassurance certificates, safety, and environment.The department manages contacts with contractors,with bodies of state administration, providesimplementation of tasks imposed to the managementin the operation in our area. Employeesof the department perform training, audits in fieldsBOZP, PO, and environment.* Ing. Peter Olšanský, Director of the AreaIng. Pavol Hajdók, Chief of HPS DepartmentJán Andrus, Chief of PO DepartmentPavol Marcinko, Chief of LČ Sečovce DepartmentIng. Július Tamók, Chief of P and UŠtefan Bodnár, Chief of S. of Technological Assurance8 Slovgas • 5/2007

Operation & Maintenance AreasFirst turbo setsCooper Rolls at workin the CS Jablonov nad TurňouTransmission system comprises of four compressorstations, one of them located in Jablonovnad Turňou (CS02). The latter station startedits operation on 29 September 1975. Technicalequipment in individual CS’s are similar, Jablonovnad Turňou, however, has the primacy in onething. Two 28 MW turbo-sets Cooper Rolls wereinstalled and started to operate here in 1997.It was the first compressor station that started touse what was then up-to-date technology. In additionto its excellent technical specifications, theturbo-set is friendly to the environment, too. Amountsof emissions released to the air are 10 timeslower than permitted and the device uses dry, mineral-oilfree gas gaskets.Like other locations, Jablonov nad Turňou hasthe line part department. Its predecessor, Diaľkovodnýzávod Rožňava, was established in October1972. Among the plant’s activities was maintenanceof line part of the transit gas pipelineincluding anti-corrosive protection, maintenanceof electric equipment and communication systemfrom the Ukrainian state border to the town of RimavskáSobota.Initially, workers in the plant used equipmentfrom the suppliers in Zádielske Dvorníky and Slanec.Later on, the plant moved to the town of Rožňava,to a green field, where the workers themselvesbuilt a temporary base from mobile units and abarracks. The construction of new premises wascompleted in 1983. Between 1999 and 2001, thecomplex was extended and workshops and garagesfor the line part and centralised maintenancevehicles were constructed.Now, among the core activities of the line partdepartment Rožňava are the maintenance andoperation of the line part of transit gas pipelinesfrom the route cap TU 11 Belža to TU 20 RimavskáSobota. The department supervises four routecaps, input-output construction with the pipelineyard CS02, national hand-over station, 459 km ofpipes of 1 200 to 1 400 mm in diameter, 600+ ofDN 300 - 1 400 of fittings, active cathode protectionsystem with 25 stations, telemetry – long distancedata transmission and long distance sphericalvalve control.The system of gas pipelines under the supervisionof the Area Jablonov nad Turňou is locatedin the beautiful surroundings of the National PartSlovak Karts. The natural beauty, however, meansmore demanding work that needs to be done duringrepairs and maintenance of gas pipelines. Inaddition to rocks and water, people fight againstdifficult to access terrain and must bear in mind,while doing their work, that it is the territory of thenational park which requires utmost caution in regardsto environment.To mention some of the work they do, corrosiveeffects on the walls of pipelines and damagedinsulations of transit gas pipeline lines are repairedannually at 1 900 bm, representing approx.110 diggings.In the history of the plant, workers faced, apartfrom general maintenance works that they did onthe gas pipeline, emergency situations and naturalcatastrophies. A natural catastrophy at the SlanáRiver in October 1974, when a flood ruined a bridgeconstruction, is one of the largest in its history.Employees of the line part department also managedand participated in the following projects:• Replacement of spherical valves DN 300 to DN1400 - functionality tests and permitted leakageof spherical valves tests, section planning,technical specifications, order requests andworks management.• Reconstructions of low coverings by controlledpipeline launch with a turbo-launcher with strain-gaugemonitoring of voltages - locations Gemer,Káloša, Rakytník, Turňa nad Bodvou. Criticallylow coverings appear in the territories withhighly cultivated soil or high ground water levels.Pipelines are washed up due to soil erosionand insufficient load on pipeline when constructed.• Managing operation cleaning and pipeline inspectionsare performed by an intelligent inspectiondevice.Workers collaborate with the department of pipelinesystems of technical and competence centrein Nitra to specify areas that need repair, theytrace them with the GPS system. They overseedigging works, diagnose pipeline defects, andsuggest methods of repairs for seriously damagedplaces (Clock Springs, cold and warm socketsor openings).All employees seek to preserve the status quoand to improve it by introducing new technologiesand procedures.Štefan Keresteš,Director od the Area Jablonov nad TurňouThis was the premises of Diaľkový závod Rožňava until 1983.Then new constructions were builtThe beautiful nature of the Slovak Karts shows its other sideto the gas workers5/2007 • Slovgas9

Operation & Maintenance AreasOperation of the CompressorStation in the Area of Veľké Zlievcehas a Special RegimeConnection of KS Veľké Zlievce to 1st line of transit gas pipeline - year 1974The area of Veľké Zlievce runs the operation andmaintenance of the compressor station 03 VeľkéZlievce and operation and maintenance of linepart of transit network from the route valve No.20 Rimavská Sobota up to the state route Šahy- Zvolen in the total length of 511 km. Three routevalves and pipeline systems CS03 are the integralpart of line part.The compressor station 03 is placed in the cadastreof the municipality Veľké Zlievce, 12 kmsouth of the town Veľký Krtíš.The history of the area today Veľké Zlievce startedin the summer of the year 1972 with the buildingof the compressor station. In the year 1974,it was connected to the line part of transit systemand two turbogenerators of hall I were put intoAn aerial view of the current compressor station Veľké Zlievceoperation. Gradually, until the year 1985, four hallswere completed where there are 22 turboaggregateslocated with an output of 6 MW. The increaseddemand on the transmission of natural gas requiredother investments. In the years 1992 - 1993,the electro-hall was put into operation, where thereare 3 electroaggregates located with an outputof 25 MW. Then in the years from 1994 to 1996the hall „T“ was built where there are two turboaggregatesNuovo Pignone with an output of 23MW, thanks to this compressor station the currentinstalled output is achieved.The control of such a complicated technologicalsystem, as is the transit system, requires highlyexpert, technically experienced service.Currently, in the area of Veľké Zlievce 161 employeeswork there, out of those, 142 employeesin the compressor station, 19 employees of Departmentof Line Part are detached in Lučenec.The organizational structure is standard - unifiedwithin the join stock company SPP - preprava, a. s.and it consists of three departments and one Unitof Supporting Services. The biggest departmentis the Department of Maintenance and Operationof compressor station with 103 employees.The special regime of the compressor stationoperation is considered among peculiarities of thearea. Within the optimization of the transit networkoperation, our compressor station is often put outof operation and again in a short period of time putback into operation.Formerly, the compressor station was in operationmost of the year save regular stoppages whichwere related to the replacement of ball valves. Onlythe number of machinery and adjustment to levelswere changed. Gradually since the year 2000,however the number of major modifications whichlie in the start of the compressor station, stoppages,possibly shift from one level to two leveloperation and vice versa, or starting or setting asidea higher number of machinery. Whereas in theannual major modifications, in the years 2006 therewere already 30. Thanks to high expertise andexperience of employees of continuous operation,a high balance of the Maintenance Units, we alsomanage these situations without problems.On the other side, our compressor station becamethe place for the implementation of a pilotproject of maintenance performance monitoringin SAP system. After half a year of testing theprogram in the year 2005, the project also expandedto other compressor stations.Ing. Jozef Titka,Director of the Area Veľké Zlievce10 Slovgas • 5/2007

Operation & Maintenance AreasThe biggest area of SPP - preprava, a.s. is thearea Ivanka pri Nitre and covers nearly the wholeof West Slovakia. Its position is determined aboveall by the maintenance of contracted pressuresand amounts at the outlet from the transit systemof The Slovak Republic. This priority task is providedby the compressor station at Ivanka pri Nitreand by the system of pipeline networks, which aredivided in the dividing node in Plavecký Peter.Specific features of this area are based on thefact, that it is the smallest compressor station asfar as the performance is concerned. It has twentytwo six megawatt machines and four twenty threemegawatt compressor units Nuovo Pignone. It isthe area with the biggest number of internal transferand acceptation stations (VPS): Starý Hrádok,Ivanka pri Nitre, Plavecký Peter, which providehanding over the natural gas to the distributionnetwork. Here are also several important nodes.VPS Starý Hrádok hands over the gas to the distributionnetwork and simultaneously they transferthe gas to the industrial park near Levice.Another specific feature in this area is the dividingnode in Plavecký Peter. It is the place, wherethe gas is divided for the Czech Republic and forAustria. It is the location, where energy is dividedin a south direction, from the point of view of ourThe Biggest AreaIvanka pri Nitre has severalother specific featuressystem. The work in the system in Plavecký Peteris complicated. It is the network of pipelines, ballvalves, valves, regulation fittings, which provide allnecessary, not only for provision of functionality ofthe pipeline system in the transit system, but alsotechnological provision, connection of undergroundreservoirs in Záhorie region. In addition tothis, these systems work in various pressure levels,and it is demanding enough for operation andprovision of reliable operation. The internal transferstations operate without operators.The area is in close vicinity of Bratislava andmostly domestic but also foreign delegates visitjust this place.Extensive theoretical knowledge must be confrontedwith practice. The compressor station atIvanka pri Nitre is in many cases different fromthe other compressor stations by its technologicaland technical equipment. The reason is simple.It is in the close vicinity of technological bodiesof SPP - preprava, a. s., as is the technologicalcompetence centre and centralized maintenancein Nitra, which predestine us to test new technologicalsolutions. After testing and analysis, manyof them are implemented to other compressorstations. Those which do not prove its technicaland economic justification are reassessed and onlythe advantageous parts remain to be implementedat CS Ivanka pri Nitre.In 2006, the area Ivanka pri Nitre became theplace for pilot projects of mobile working placesof the line part, in which all existing devices andtechnological support were utilized. Thanks to successfulresults the pilot project was extended toall line parts of the transit system.In this year, we will finish the implementation ofpressure level division in the area Ivanka pri Nitrewhich means that the pipeline network will be ableto work in our area in a parallel way with variouspressure levels divided in accordance to the requirementsof the transit dispatching in Nitra dependanton the amount of transportation and requiredflows to the Czech side and to the Austrian side.This project brings a new element into themethod of the transit system operation, because inthe present system the pipelines were operated togetherwith equal parameters. Division of the pressurelevels will contribute also to higher efficiencyand optimization of compressor stations operationin Ivanka pri Nitre and Veľké Zlievce.Ing. Anton Zelenaj,Director of the Area Ivanka pri NitreIvanka pri Nitre area is the biggest on the route of the gas pipelineDistribution point in Plavecký Peter5/2007 • Slovgas11

Project TasksCommercial Dispatching- an integral part of the structureof European gas companiesAt the end of the 1990’s, as the regulatory modelof the European union for the energy marketbegan getting more specific contours, it grewclear that it would be no longer possible to managetrading with gas together with providing transmissioncapacity. The integrated undertaking Slovenskýplynárenský priemysel, a.s. reacted to thisdevelopment back in 2002. In terms of the internalrestructuring process, the then Section for Tradewith Natural Gas was divided into three sections.One of them was the Transmission Capacities SalesSection. And so, in 2004, the Transit Division,up to then orientated exclusively at operational andtechnology-related issues, got included commercialactivities. This transfer was performed in areliable manner. Because, together with the newbusiness agenda, also a run-in commercial teamjoined the Transit Division, customers have not noticedany change in the corporate culture.Of course, the evolution has not stopped there- on the contrary, in this area it keeps on accelerating.Also in view of the legal unbundling, whichtook place last year, new changes and obligationsof the transmission network operator have beenemerging. The today‘s Transmission Capacities SalesSection responsibility includes, apart from contractingnew capacities and administering the existingcontracts, also regulatory affairs, dealing withSlovak and European regulatory bodies, as well ascommercial aspects of interoperability with the adjacentnetworks. The increasing competition in thefield of international gas transmission, the existenceof which we are now experiencing, highlights thenecessity of strengthening the customer orientationof the company and care of the company’s clients,the number of which doubled just in the course ofthe previous year. It is for certain that these changes,and in particular the speeding up integrationof the unified European regulatory framework, supportedby the European Commission, are beginningto influence more than ever the entire activities ofour company in the years to come.Among other projects, on which our sectionhas been focusing in the recent years, the so-calledcross-border interoperability in gas transmissionplays an important role. Its primary tool is embodiedin the interconnection agreements with theoperators of adjacent networks. To put it simply, themain goal of these agreements is to make the life ofthe network users easier, to accommodate transferof their gas quantities and trading with energy atthe interconnection points. In order to provide theseservices to shippers, the transmission networkoperators use the procedures of nominations, matching,allocation and reconciliation of imbalances.These activities are by far not related just to the physicalsteering of gas flows in the network. It is alsoa vehicle by which regulatory and legislative requirementsand business know- how are translated intothe daily operation of the network. In order to beable to keep pace with the fast development of theexternal environment, as well as to better meet theneeds of our customers, this spring we have establishedthe Commercial Dispatching UnitThe Commercial Dispatching Unit, as a standardpart of the organizational structure of Europeangas companies, fulfils several principal missions:to act as a permanent communication center forclients and network operators for issues relatingto the commercial fulfilment of contracts; to maintainthe database on the contract performance andto exchange relevant information with the externalenvironment; to guarantee implementation ofthe legislative rules into the network steering andto adopt on-the-spot measures on short- term decisionsin the fulfilment of the contracts. Within itsactivities, the Commercial Dispatching Unit closelycooperates with the Technical Dis patching Unit.A major portion of the Commercial Dispatchingactivities are of cyclical character. Such a cyclebegins with the collection of transmission nominationsfrom network users and partner operators.Naturally, foreign partners represent a dominantgroup, but the Commercial Dispatching maintainscontinuous contacts with the domestic distributionnetwork operators and operators of undergroundstorage facilities as well. The nominationsare being verified against multiple criteria. Amongothers, they are compared against the correspondingnominations on the other side of the interconnectionpoints, what, considering the increaseof the number of participants and the so-calledtitle exchanges at all points, is anything but atrivial task. In addition to that, SPP - preprava hasbeen also providing its customers with the optionof changing their nomination at any time in thecourse of the day with the lead time of two hours.The next step comes with the allocation, withwhich, with respect to the co-existence of the previoustransit contracts and contracts concludedunder the new regulatory framework, we mustseek the way of how to correctly divide the totalexpected gas flow. The final stage, taking placeex-post after the individual gas days are evaluated,represents the registration and administrationof the so-called balance accounts. The balancingdeviations have not only a significant impact ontechnical aspects of the network steering; they alsobring economic consequences.Certainly, the activities of the Commercial DispatchingUnit cover a much broader scope thanthe periodic procedures described above. What isof vital importance for us is the feedback receivedfrom the dispatching. We endeavor to reflect theknowledge and comments, coming directly fromthe practice, in the preparation of interconnectionagreements, as well as in contracts with the networkusers as such.The next future will see further staffing of thepositions of the dispatchers. We will have to workfurther on the level of communication with thecustomers. However, the greatest challenge aheadof us is the completion of the IT support that wouldsimplify the administration of databases, exchangeof information and provide a direct interface tothe internet portal of the company.Naturally, the launch of the Commercial DispatchingUnit has not come without some labourpains . We are also aware that some furthercomplications are still to be overcome. However,thanks to the extraordinary commitment shownby the first two members of the team, as well asthanks to a very good cooperation with the colleaguesat the Technical Dispatching Unit, we mayconsider this project as successfully managed.Ing. Miloš Pavlík, Director of the Sectionof Transmission Capacities SalesCurrent scheme of the basic commercial-dispatching management cycleon gas trading days D-1 – D+212 Slovgas • 5/2007

Project TasksAfter the 1993 partition of Czechoslovakia wecommenced acquiring experience in the controlof the Slovak part of the transit system. The Slovaktransit system dispatch was established in Nitra andstarted to function independently from 1 July 1994.At that time the system’s operational managementhad been subject to the conditions of contracts alreadyconcluded.The majority of transit contracts weresigned prior to the Transgas split. The dissociationof the Slovak part of the transit system resultedin the need to split contracts as well, but so that ourcustomers would not feel any changes, in commercialas well as operational terms.The initial method of control comprised of thedetermined dispatch, always at 8.00 in the morningupon notifying the daily requirements to GazexportMoscow (currently Gazprom Export), thenecessary transport performances, relying on experienceas well as on simple calculations. Machinerywas selected to utilize a certain number ofeach machine type, installed at the individual compressorstations (CS). Subsequently, the Nitra dispatcherscontacted by phone the CS the respectiveproduction dispatch managers and requestedthe appropriate changes of parameters - machinerystartup or shutdown, rpm changes - in order toattain the necessary transport volume. Neither efficiencynor operating effectiveness of the individualmachine types had been too important underthese conditions; reliability and safety of operatingequipment were the main criteria.The operational method applied in the systemwas also different from current practice. At thattime, all compressor stations have always beenoperating; changes were usually restricted to theAutomation of the TransitSystem Controlto increase its Effectivenessnumber of rpm’s of the operating machines.The start of operations of the competing Jamalgas pipeline in 1999 had a major influence on thechanging operational management method. Comparedto the previous period, transport has becomemore irregular. In addition, there was a shift ofour focus to consider not only safety and reliability,but also effectiveness as the main criteria ingas transport.One of the accepted measures involved the creationof System Planning, the department responsible,among others, for the preparation of recommendations,depending on current conditions, todispatchers for optimal performance distributionand optimal combination of machinery utilized atthe individual CS. Now, contrary to the past, not allcompressor stations operate simultaneously; theyare relatively often started up or shut down, dependingon the current transport requirements.The new conditions put increased operationaldemands on the CS by requiring interventions ofthem much more frequently; unfortunately, dispatchrequirements may be seen as illogical or uncoordinated,due to topical developments in theclients´ requirements for changes in transport. Onthis basis, the management decided to elaboratea study of effectiveness and expediency of implementingautomatic management of the transit systemfrom the Nitra dispatch centre.The study results showed that the main effect ofautomation should provide for immediacy of interventions,based on changing operating conditions,in the control of operating machinery, thereby reducingthe operational reserves at exits from ourtransit system, i.e. at the Lanžhot and Baumgartenborder exit stations. The decision also changedthe system management philosophy; dispatchwill no more specify all parameters for the individualCS but only those enabling control of the localsystems´ machinery in compliance with dispatchinstructions. These parameters include typeand number requirements of operating machines,without specifying other factors which are leftto be defined by the individual stations. In addition,the key parameter applying to the first CS in VeľkéKapušany is the gas flow through the station, whilefor Jablonov nad Turňou, Veľké Zlievce and Ivankapri Nitre the station exit pressure is the controllingcriteria.Automation will not apply to all types of machineryinstalled at the individual CS. Only the newest-generationmachines - Nuovo Pignone andCooper Rolls - will be fully automated, enablingtheir automatic startup, operation and shutdownto be fully automatic, based on computer-generatedrequirements submitted by Nitra dispatch. Oldermachinery, the 6 MW turbo sets and electricdrive machines will be automated only to the extentthat, when requiring a startup or shutdown,the necessary actions will be executed by operatorspresent at the station. Whilst in operation,they will be subject to the station control systemcontrolling them (according to dispatching requirementsand their algorithms for the redistributionof loads among the various type machines) jointlywith the fully automated machines.Ing. Ján Janus,Director of Section Gas Dispatch5/2007 • SlovgasDispatch Control Centre of SPP - preprava, a. s.The newest-generation machines - Nuovo Pignone will be fully automated13

Project Tasks*))Technical Competence CenterSection is a Bearer of Technicalknow-how of the CompanyPrincipal activities of the section:• bearer of the technical know-how of the company,• preparation of analyses of the technical conditions,preparation of methodologies and instructionsfor technical maintenance and renovationof the compressor technology and pipelinesystems (PS),• presentation of proposed technical solutionsfor the improvement of reliability and efficiencyof operating and maintenance the compressortechnology and PS,• management of documentation of the companyand the management of activities in the fieldof H&S, FP and environmental protection,• coordination and management of research anddevelopment tasks, management of patentsand inventions.Among others, these tasks are being fulfilledthrough the following projects:1. Optimization of preventive maintenance usingRCM method2. Corrosion Protection 2006, 20073. Replacement of above-ground river crossovers4. Creation of the welding quality systemOptimization of preventive maintenanceusing RCM methodIIn 2004, the RCM (Reliability Centered Maintenance)methodology was approved in the TransitDivision serving for the re-evaluation of preventivemaintenance activities. The RCM method analyzesthe equipment from the viewpoint of operationalreliability of the whole unit. It examines theimportance of individual pieces of equipment onthe basis of their importance and risks resultingfrom the breakdown of such equipment. It examinesthe functions of each piece of equipment andenables finding the optimal maintenance plan forsuch equipment accepting the specifics of its operation.The result comes with higher reliability ofthe system and reduced maintenance costs of theequipment. RCM forms part of the risk managementof the company (optimization of the preventivemaintenance plan on the basis of the evaluationof the risk of possible losses caused by equipmentmalfunctions). The following expertise isbeing used in implementing the method:• FMECA (Failure Models, Effects and CriticalityAnalysis),• RCM risk matrix,• Catalogue of the types and causes of malfunctions.The Optimization of Preventive MaintenanceUsing the RCM Method Project was initiated by themanagement of SPP - preprava in 2004. The goal ofthis project may be divided into three basic levels:• integration of data to maintenance activities inall facilities of the company. Verification of thisdata, detailed specification of its structure andcharacteristics. Evaluation of the current maintenanceprogram (so-called initial maintenanceprogram),• analysis of the risks resulting from the operationof SPP – preprava’s facilities, implementation ofprinciples of the RCM philosophy and its basictool the FMECA analysis,• optimization of maintenance activities as a resultof the evaluation of risks in the form of adynamic (continuously developing) maintenanceprogram.The result of the work performed by the RCMgroup came with the description of the core andauxiliary technology of compressor stations (CS)and pipeline systems (line section). The documentsof individual technology units were created,indicating:• a three-level division of technology units,• a description of the function of individual components,• a description of consequences resulting frommalfunction.For the purposes of determining the criticalitylevel, the RCM group has created a risk matrix thatwas approved as a company strategy. Subsequently,the following was added to the RCM documents:• probability of malfunction• impacts of a financial error (financial losses),environment and security.A catalogue was created for identification of thetypes and causes of malfunctions, in which all theup to date known and expected types and causesof malfunctions are described, their consequences,together with the respective maintenancestrategy and activities. Concurrently with the RCMwork group, in 2005 the group responsible for theintroduction of the SAP PM maintenance moduleinitiated its activities. One of the main contributionsof this work group was the creation of thecodebook of activities describing all types of activitiesperformed on the technical equipment. ThePreventive Maintenance Plan was prepared, whichwas incorporated to the SAP PM system. The monitoringof malfunctions was introduced into theSAP PM system, where this record-keeping representsthe first comprehensive monitoring of theequipment’s condition jointly for all areas operatedby SPP - preprava. This record-keeping of malfunctionssubsequently serves for re-evaluation ofthe failure rate and modification of the malfunctionprobability parameter or the malfunction consequencesin the RCM sheets. In 2006, the RCM workgroup began collecting and analyzing the malfunctionsoccurring at technology units. Thesemalfunctions were divided according to areas oforigin, technology units, and professions. Gradually,changes were made in the RCM sheets on thebasis of individual types and causes of malfunctions,consisting of:• changed malfunction type,• changed risk value,• changed maintenance activity,• changed profession and time.This resulted in the creation of integrated documentssuitable for incorporation to the proposednew 2008 Preventive Maintenance Plan. Theresult of the project is the processing of the currentmaintenance program to the required structureand form and the transition to the so-called dynamicmaintenance program.Corrosion ProtectionThe project “Corrosion Protection 2006, 2007” alsoincluded the task “Implementation of CathodeProtection at the Compressor Stations Operatedby SPP - preprava, a. s.”.At the time of construction of the gas transmissionnetwork, the protection of the undergroundpipes at the compressor stations was designedonly as a passive one whereas cathode protectionof such complex structures was unthinkableback then. The pipes located in pipe yards atSKAO equipment14 Slovgas • 5/2007

Project Tasksthe CS were insulated using enhanced insulation,placed onto a sand bed and featured the so-calledcorrosion additive.The preparations for introducing cathode protectionin the pipe yards at the CS began in the1980’s in the form of scientific & technical developmenttasks. The use of deeply buried anodeswas expected. However, these projects were neverimplemented.In 1998, during the construction of the 5th lineof the gas transmission pipeline, the Cooper Rollscompressor units were put into operation at CS 01Veľké Kapušany and CS 02 Jablonov nad Turňou,pipe yards of which featured cathode protectionusing flexible anode Anodeflex made by Raychem.In the course of 2000 - 2004, the research anddevelopment task was implemented focusing oncathode protection of pipes located at the CS. Theresult of this task came with the project and implementationof the trial cathode protection at CS 02Jablonov nad Turňou.With respect to the similar configuration of allfour CSs serving the transmission gas pipeline network,it was proposed (right at the end of the trialoperation) to build cathode protection at the remainingCS as well. This proposal received supportfrom Gaz de France (GDF) and E.ON Ruhrgas(ERG), already the shareholders of SPP, a.s.The construction of the cathode protection systemsat CS 01 Veľké Kapušany, CS 03 Veľké Zlievceand CS 04 Ivanka pri Nitre took place in the secondhalf of 2006 and the trial operations demonstratedfunctionality of these systems.A combined system was applied for the resolutionof cathode protection of pipe yards at the CS,which system uses both SKAO with forced current(delivering protective current to the soil using ferosiliteanodes) and also galvanic anodes.The measurement of cathode protection parametersat the CS is being performed identically as in thecase of the line section, pursuant to STN EN 13509Measurement Techniques in Cathode Protection, byusing external testing probes (MS 110 and MS 200)permanently installed in the soil near the monitoredpipelines. All SKAOs form the part of the CathodeProtection Monitoring and Management Systemwhich enables real time monitoring and controllingof all rectifiers, performing special measurements,as well as performing analyses focusing on optimizingthe cathode protection system.The global trends within the gas industry, introducedparticularly by the International Gas Union,but also by the EU standards and legislation, requirefrom SPP - preprava compliance with the requirementsin the field of security and reliability ofgas facilities. Cathode protection of compressorstations is the missing link that has been added forthe purposes of ensuring the security and reliabilityof the Slovak gas transmission network, enablingcomprehensive development of the risk managementsystem and integrity of pipelinesReplacement of above-groundriver crossovers5/2007 • SlovgasAbove-ground crossover at Hron RiverAt the time of construction of the transmission network,it was decided that 15 rivers crossing thecorridor of pipelines would be bridged by using archedtruss above-ground crossovers. Each crossoverholds the 1 st and 2 nd DN 1200 line. Other lineswere typically constructed by using underwatercrossings under the rivers. Only a few of themwere led above the river by using self-supportingbridging.In 2006, the Technical Competence Centerin Nitra proposed the concept of replacing theseabove-ground river crossovers. This financiallydemanding investment is backed by securityand strategic reasons. The pipelines led abovethe ground represent the most vulnerable componentsof the transmission network operated bySPP - preprava. Their actual implementation andeasy access to them do not comply with the securitypolicy of SPP in the field of protecting the compressorstation facilities and line closing valves.According to the information received at the meetingsof the international “Corrosion Protection”work group , people in Gaz de France dealt with theproblem in the same way.The benefits of this concept, in addition to thehigher level of protecting the pipelines forming thetransmission network, also come with:1. elimination of periodic maintenance costs,2. elimination of costs relating to any eventual repairsscheduled on the basis of the diagnosedtechnical condition of the components formingthe crossovers and pipes themselves,3. reduced impact on the environment and thecharacter of the surrounding landscape,4. prevention of vandalism at the crossovers.The proposed replacement of all above-groundriver crossovers has been scheduled for 10 years(2007 - 2017). The reconstruction period of eachcrossover is to take two years.The technical and financially most demandingpart will be the construction of the new undergroundcrossings for the 1 st and 2 nd DN 1200 lineunder the rivers. Such underground crossing ofthe river may be implemented by installing the underwatercrossing or by controlled forcing of twopipes under the river. The selection of a specificmethod will depend on the presence/absence ofthe flood dike at the location of the crossing, actualcondition of the flood area, results of the geologicalsurvey, standpoint received from the local rivermanagement company etc. Also considered uponproposing the actual implementation will be the alternativeof using the spare underwater crossingsinstalled under certain river crossings.Creation of the Welding Quality SystemIn November 2006, the management of SPP - prepravadecided on the introduction of the weldingquality system.The main reason behind the introduction of thissystem was to improve the fulfillment of customerrequirements in the field of welding, reductionof costs and enhancement of product quality.Another reason was the introduction of systematicpractices to this field and finalization of the relatingdocumentation with the goal of implementing thewelding processes in the most efficient manner.Our company operates a certified Integrated ManagementSystem featuring Health & Safety, FirePrevention and Environment Protection managementsystems. It was therefore natural that the weldingquality system became a part of this IntegratedManagement System. The work group definedclear goals to be fulfilled by the end of 2007:1. to determine responsibilities and competences,2. to finalize the documentation required by therespective standards (including preparation ofprocedures for securing the quality),3. to improve awareness by re-training the companyemployees,4. to prepare the system so that in December2007 the audit by a certification company maytake place.* Ing. Vladimír Potočný, Director of the TechnicalCompetence Center SectionIng. Peter Kender,Compressor Technology DepartmentIng. Róbert Repčík,Corrosion Protection DepartmentIng. Peter Soukup,Pipeline Systems Diagnostics DepartmentIng. Július Hegedűš, Expert Inspectionsand Testing Department15

16 Slovgas • 5/2007

5/2007 • Slovgas17

Project TasksRe-Engineering of TransmissionSystem and its Positionamong Priorities SPP - preprava, a. s.SPP - preprava, a. s., (in the past also DivisionSlovtransgaz or Transit gas pipeline, k.p.)means 35 years of reliable service in European dimensionof quality and importance. Changes ofnames usually announce that the company goesthrough other important stages of changes andproceed further.Also today SPP - preprava, a.s. announces anew change of the name and set up new priorities,which have the aim to meet expectations of shareholders,to satisfy requirements of clients, to motivateemployees, and further to provide safe, reliable,and efficient gas transportation.In order to provide their priorities the companyrealizes the action plan, in the framework ofwhich the re-engineering of the transportation networkis more and more underlined. The re-engineeringmeans a technological concept, which willresult in several projects of construction, reconstruction,and modification. Today the concept isin the phase of draft concept and preliminary technologicalsolution.The concept of the re-engineering came fromthe original concept of the introduction of the newhydraulic regime, which represents the aim to workwith maximal operational pressure at all compressorstations. At the first look, the formal changefrom one name to the other has its own technologicalbackground, which is based on an extent oftechnological adjustments and measures, whichhave to be done in order to achieve the aim.The original concept of the new regime presumedadjustments of existing compressors inthe compressor station in Veľké Kapušany, withthe aim to achieve higher compression ratio thanwas enabled by the majority of installed compressors.Simultaneously, the concept took into considerationthe opposite adjustments at compressorsNuovo Pignone at CS04 in Ivanka pri Nitre,with the aim to achieve at optimal parameters alower compressor ratio than was enabled by thesemachines.The concept prepared in that way did not presumeinterventions into CS02 and CS03, mainlybecause of the amount of transported gas, whichwas taken into consideration at that time.The whole original concept started to registersignificant changes after cancellation of the majoroverhaul program of the original 6 MW turbo-compressors,when it was already obvious that 25 MWelectric compressors, thanks to the growing priceof electricity, would no more be an advantageousresource of compression work, and finally whenthe most important decision of Russian Gazpromto implement the Nord Stream project affected thewhole concept, which would permanently influencethe amount of transported gas through our system.The new concept - the re-engineering of thetransportation network - continues to be based onthe presumption of the compression to maximaloperational pressure, however, at the presumptionof decreased transported gas amounts in the future.Modifications are considered at each compressorstation, while the technology of 6 MW compressorsand electric compressors are set for theattenuation program in the framework of the concept.The re-engineering concept of the system isprepared in several phases.The first phase represents measures for theprovision of increased outlet pressure from CS01.Analyses proved that it is most effective to installtwo new turbo-compressors with an output rate30 MW, which will complete three existing 27 MWturbo-compressors and with the fleet completed inthis way it will be possible to operate the station onthe basis of “big” machines and increased pressure.The installation of two new machines becamean individual project, which is already today in theimplementation phase.An individual sub-project of the first phase wasthe analysis of the potential utilization of outletcombustion gases from the fleet of “big” machines.This sub-project was prepared in an alternativedesign both from the viewpoint of the outlet(20/30 MW), as well as from the viewpoint of theproduced work (compression/electric). The projectis based on the estimation of expected transportationin the future, and therefore its implementationwill probably depend on the signing of a new basiccontract with Gazprom Export, which can confirmor disprove the feasibility of individual alternativesand technological solutions.The second phase represents a wider core ofmodification of the transportation system. It combinesimpacts of the introduction of the north gaspipeline into operation, and by that the decreasedtransportation to existing compressor stationswith influence of increased compressor ratio atCS01 and, simultaneously, includes into the solution,the attenuation program of obsolete compressorsand the solution to utilize the waste heatof combustion fumes from the compact fleet ofmodern machines at CS01.The combination of transportation decrease andoutlet pressure increase at CS01 will cause undesignedoperational states of compressors in othercompressor stations in such extent, that it will notbe possible to operate the compressors with theexception of the 6 MW machines working in onestage operation.Technological solutions of modifications inthis phase are directed, above all, to the achievementof optimal parameters of compressors in thetransportation extent during the year, while simultaneouslyit is possible to profit also from the factthat top producers today offer compressors withthe possibility to reach significantly higher efficiencythan it was 10 years ago.A real solution seams to be the replacement ofthe whole radial compressors, including casingbody of machines Nuovo Pignone and CooperRolls by compressors with lower number of compressionstages and higher diameter of inlet-outlethubs, while the designing point of compressorswill be set, from the viewpoint of pressure parameter,significantly lower than now. Preliminarily weconsider an alternative solution of replaced compressors(with radial inlet, with axial outlet, tandemtype), while the most advantageous solution canbe definitely defined after the signing of the abovementioned contract with the eastern partner.The third phase represents adjustments of compressors,a solution of which was stopped duringthe first and the second phase, because of economicallyinefficient adjustments, or technologicallyproblematic adjustments. This phase of designedtechnological solutions will come out from the definitivesolution of the second phase and by its extentit will solve three groups of compressors: machinesNuovo Pignone at CS04, Nuovo Pignone atCS01 and those 6 MW machines, which will notfall into the attenuation program.The re-engineering concept of the transportationnetwork (system) has the aim firstly to increasethe efficiency of transportation and by that toimprove competitiveness of our company. Competitivetransportation routes, which are in constructiontoday, will profit from the larger dimensionsof pipelines and higher operational pressures, incombination with the utilization of modern highlyefficient turbo-compressors. SPP - preprava, a. s.can gain profit in this competition from synergy ofthe constructed system in combination with intendedtechnological improvements.Action plan for fulfillment of priorities of thiscompany covers technological, business, and alsoeconomic synergy, from which the companycan gain profit in a continuously changing environment.Ing. Ján Štuhl, Director of Section of EconomicServices and Development of Activities18 Slovgas • 5/2007

International cooperationFirst of all I would like, on behalf of UkrtransgasAC, to congratulate heartily the whole labourcollective of Slovensky plynarensky priemysel(SPP) on glorious anniversary - the 35 th year of itscreation and to wish much success in your work.Cooperation between Ukrainian and Slovakiangas companies has long traditions and continuesfor many years since the times of first transit deliveriesof Ukrainian and later Russian gas to Europeancountries. In respect of great importance ofthe cooperation among Ukrainian and Slovak gasmen,Ukrtransgas AC maintain collaboration withthe Slovak company SPP within the frameworksof a long-term agreement on boundary cooperationand dispatcher’s agreement.Ukrtransgas Affiliated Company of NationalJoint -Stock Company Naftogaz of Ukraine, whichwas established in 1998 on the basis of formerJSC Ukrgasprom, is the main operator of gastransmission system of Ukraine.The throughput capacity of the Ukrainian gastransmission system (GTS) at the input is 288Bcm/a and 178 Bcm/a at the output. In the directionof Western and Central Europe as well as Slovakiathe transit capacity constitutes 142 Bcm.Ukraine’s GTS consists of 38.0 thousand km ofpipelines with 73 compressor stations (of total capacity5 400 MWt), 13 underground gas storageCurrent state and perspectivesof Ukrainian - Slovakcooperation in Gas Industryfacilities (UGS), networks of gas distribution stationsand gas metering stations. It performs twomain functions: supplying natural gas to domesticusers and the transit of natural gas to the countriesof Europe from Russia and Middle Asia.The reliability of transit deliveries and supplyto domestic users is secured through 13 undergroundgas storage facilities, the biggest onesare situated in the western part of Ukraine. Thenet work of UGS, with a total volume more than30 Bcm, can be exploited for the needs of Centraland Western Europe gas consumers, which willconsiderably increase the reliability of natural gassupply of these countries.The gas transmission system of Ukraine is constantlydeveloping. During the last 16 years morethan 5.5 thousand km of main gas pipelines andbranches were constructed and brought into operation,and 10 compressor stations appeared (withthe capacity of more than 500 MWt).„Compressor stations reconstruction program”has been brought into realization, its objective isto advance Ukrainian GTS parameters to contemporaryworld standards. The core of this programis the introduction of modern engines of gas compressorunits and the control systems with highcoefficient of efficiency (up to 37 %).During the last ten years in-line inspection oftrunk pipelines is carried out with the help of theintelligent pigs, modern European technologiesand equipment for detecting and eliminating defects.We shall implement this expensive policy inthe future to secure the reliability of our main gaspipelines.That’s why the experts from the European Unionand Ukraine in the frames of the INOGATE program(2002 - 2006) came to the deliberated conclusionthat the current technical state of gas transmissionsystem is wholly satisfactory.Taking into account the intensification of theUkrainian course towards European integration,including the implementation of Program Ukraine- European Union in the energy sphere, our countriesnow face the opportunities for mutually beneficialcooperation in gas sphere. It concerns cooperationin development gas transportation systemsof Ukraine and Slovakia, usage of UkrainianUGS for Slovakian aims, partnership in commonprojects in third countries, perspective projectsconcerning diversification of gas supplies, interchangeof experience among the professionalsfrom our countries and other activities.Miroslav Petrovič Chimko, Directorof Transmission of Natural Gas and Implementationof Transmission Services, UkrtransgasUkrainian President Viktor Juscenko visiting Ukrtransgas AC Dispatch20 Slovgas • 5/2007

The date of 28 December 1972 is a significantdate in the Slovak gas industry. I would thereforelike to remember several milestones that precededthis date and those following it.• 21 December 1970 - signature of representativesof governments of Czechoslovakia andthe USSR under the agreement on the transittransmission of Russian gas from Austria toGermany.• January 1971 - start of project preparation ofconstruction of gas pipelines through the territoriesof former Czechoslovakia.• March 1971 - Hydrostav Bratislava startedconstruction of gas pipeline DN 1200 in theterritory of Slovakia,• July 1972 - the gross construction of gas pipelineDN 1200 from the border of USSR toPlavecký Peter in the length of 412,7 km wascompleted,• 1 January 1972 - deareation of gas pipelineDN 1200 was completed and pressurizing it upto the operational pressure started,• 28 December 1972 – delivery of natural gasby transit gas pipeline to Austria started,• March 1973 - construction of gas pipeline DN900 to Hora Sv. Kateřiny to former GDR wascompleted,• December 1973 - gas pipeline DN 900 to Rozvadovand Waidhaus in the former Federal Republicof Germany was put into operation.Further segments of the first stage of line partof gas pipeline DN 900 and DN 700 were graduallyconstructed and put into operation in following years.Their length was 1079 km. The first stage ofconstruction of compressor stations in Veľké Kapušany,in Jablonov nad Turňou, in Velké Zlievce,in Ivanka pri Nitre, Kralice and Kouřim with totaloutput of 320 MW.Transmission capacity of transit system in s1975 to 1976 already achieved 28 billion cubicmeters of natural gas per year. The following purchasersof natural gas in Europe got connected tothe transit system: Italy, France, Slovenia, Croatia,and West Berlin.Construction of further stages of transit gas pipelinescontinued until the nineties of last centurywhen long-term contracts for transmission ofnatural gas with German company VNG and WIN-GAS were implemented. Transmission capacity atthe border between Ukraine and Slovakia alreadyachieved 90 billion cubic meters of natural gas peryear.I cannot leave out the fact that Tranzitní plynovodensured investment activity and building ofgas pipelines, compressor stations, repair plants,housing complexes, hospitals, schools and other5/2007 • SlovgasWe are jointly searchingfor the best and the mostopen approach to customersinfrastructure objects at gas pipelines Sojuz, Progresand gas industry complexes Urengoj and Karačaganakin the former Soviet Union and after itsdisintegration in Russia and Ukraine in 1975 to1995 .Czechoslovak gas industry was divided in 1993.The following formation of Slovak Republic andCzech Republic was as of 1 January 1993, whereGovernments signed an agreement on the divisionof Czechoslovak transit gas pipeline to Czechand Slovak parts on 31 March 1993. At the sametime, construction of border transfer station (BTS)in Lanžhot in the territory of Czech Republic andthe construction of new gas dispatching of Slovtransgazin Nitra started.Czech and Slovak transit systems were separatedby putting BTS Lanžhot to operation on 1 July1994. I would like to stress the fact that all negotiationswere mutually correct and on the professionallevel in the period of the formation of the twoindependent states and the division of the gas industryto the Czech and Slovak parts. This statehas survived until today.After 1989, an effort to diversify deliveries ofcrude oil and natural gas has been pushed throughto The Czech Republic. Attention is paid to the constructionof gas pipelines and measuring tracks forthe potential delivery of natural gas from GermanyInternational cooperationin Rozvadov and for deliveries of natural gas fromNorway in Hora Sv. Kateřiny.The company Transgas, s. p. is preparing forprivatization on the basis of the decision of thegovernment of The Czech Republic. It ended in2002, and management of the gas industry assetsin Czech Republic (except for the distribution companiesJihočeská plynárenská and Pražská plynárenská)were taken over by the new owner - thecompany RWE AG.Fundamental changes - namely separation oftransmission, storage and distribution from thetrade with gas and the liberalization of trade in severalsteps - took place in the Czech Republic, similarlyin Slovakia, in accordance with the new Europeanand Czech legislation.Assets of the transmission system was dividedfrom the company RWE Transgas, a.s. to thenew company RWE Transgas s.r.o. as of 1 January2006.The same step took place in the area of distributionas of 1 January 2007. As of 1 May 2007, thecompany RWE Gas storage s.r.o., owning the licensefor the storage of gas, came into being. Thecompany RWE Gas Storage, s.r.o. operates, carriesout maintenance and ensures development ofunderground gas reservoirs of the company RWETransgas Net.Border transfer station in Lanžhot was built after the division of the transit system in 199421

International cooperationBoth our transmission systems form - togetherwith Ukrainian and some German systems- the transmission route of the Russian naturalgas to the countries of Middle and Western Europe.This is why we are all searching for a goodand open approach to customers as is possibleso that transmission by this route is as simpleas possible. We are creating the GATRAC projectthat should meet these criterion. This projectis supported by the Regional Association of Regulators–South-eastwhere both The Czech and Slovaktransmission systems belong.There is a very good cooperation among gas industryassociations, as well.A lot of our employees continue cooperatingand meeting with former colleagues. Slovakia stillbelongs among the countries we like to travel onholiday to.Finally I would like to wish all Slovak gasmensufficient amount of gas, safe and reliable operationto the following years. I am looking forward tofurther meetings not only in Slovakia but in CzechRepublic, as well.Distribution junction Plavecký Peter - starting delivery of natural gas to AustriaOf course, much attention is paid to purposefuland economic utilization of gas technology inthe company RWE Transgas Net. Activities outsidethe gas industry (security, transport, cleaning,etc.) were outsourced in the past years. Optimizingof operating and maintenance costs includingreduction of operating and maintenance staff atcompression stations, line part and undergroundgas reservoirs whilst preserving safety and transmissionreliability were the next step. Number ofcontrols of gas industry buildings were reducedBuilding base of Hydrostav in Veľké Kostolanythanks to the use of new technologies and productsincluding diagnostics, cameras and monitoringsystems. Liquidation of firemen and their substitutionby automated firefighting facility was animportant milestone.I must remark that a lot of problems connectedwith innovation, operation and repair works in thegas industry are consulted at the meetings withSlovak partners on all levels. I am glad that partnershipnegotiations and an exchange of experiencestill take place.Ing. Jan NehodaHe has been working in the gas industry- in the company RWE Transgasand their legal predecessors since 1975- he gradually moved up, from the positionof technician, to Head of DepartmentalOperation and Maintenance of CompressorStations, Head of DiagnosticsSection, Director of Operation and Memberof Board of Directors. After separationof trade and transmission in the companyRWE Transgas, a.s. he was appointedto the position of the registered agent ofRWE Transgas Net, s.r.o. where he managesthe Department of Operation andMaintenance of Transmission and StorageSystem and Technics.He participated in putting 6 MW turbosetsinto operation in most of the compressorstations of the transit gas pipelineincluding operators. He worked in thegroup working on prolonging operatinglife of components of turbo-sets 6 MWover 130 thousand operational hours andmodernizing of turbines with the focus onincreasing efficiency and ecology of theiroperation.He cooperates with research institutionsand universities that participatesuccess fully at innovation projects ofecology and operating life of respectiveparts of the gas industry system.Currently he is a registered agent of thecompany RWE Transgas Net, s.r.o.In the years 2000 to 2006, he performedthe function of Chairman of TheCzech Gas Industry Association.22 Slovgas • 5/2007

NAFTA a.s.Naftárska 965908 45 GbelyTel.: +421 34 693 2374 www.nafta.sk

HistorySignificant eventsof the past 35 yearsof Natural GasTransmissionin SlovakiaThe symbolic first welding arc was ignited by Mr. Ing. Jozef Odvárka,the government commissioner for construction of transit gas pipeline1968• International gas pipeline Bratstvo was put intooperation. Its construction and operation playedan important role when deciding about a route ofthe transit gas pipeline through the territory of Czechoslovakiawas made.1970• Agreement on transmission of the Russiannatural gas to Western Europe through Czechoslovakiawas signed in Moscow.1971• 29 January - construction of the first line ofthe transit gas pipeline and compressor station inVeľké Kapušany started.1972• Construction of the first line of the gas pipelinein the section state border of the USSR - PlaveckýPeter, the length of 412 km was completed.Transmission of natural gas to Austria started.1973• 9 January – gas pipeline was put into operationofficially and transmission of gas into thecountries of Western Europe and for the needsof Czechoslovakia started. Operation of the firstcompressor station in Veľké Kapušany started.• 17 June - the first billion cubic meters of naturalgas was transmitted by the transit gas pipeline.1974• The first serious accident on the transmissionsystem occurred due to a flood. 26 October- destruction of bearing structure on the bridge ofthe Slaná River occurred.1975• Technology from T. D. Williamson for the connectionof gas pipelines and repairs without interruptionof operation was used on the system forthe first time.1976• 1 February - construction of sekond line ofthe transit gas pipeline DN 1200 of the easternsection in concurrence with the first line started.1978• 30 March - construction of the second lineof the transit gas pipeline was completed. Constructionof the third line named Consortium, andfurther expansion of compressor stations started.Transmission capacity gradually increased to37 billion cubic meters per year.1979• 2 September - one hundred billion cubic metersof natural gas were transmitted by the transitgas pipeline.1983• Construction of the fourth line of the transitgas pipeline with the biggest dimensions so far,1400 mm, started in January. Expansion of thecompressor stations - especially in Slovakia - waspart of it, as well.1987• Electric drive compressors with 25 MW output,produced in Czechoslovakia, were put intooperation in the compressor station in Veľké Kapušany.1988• The first internal inspection of the piping DN1200 of the line CS02 Jablonov nad Turňou - CS03Veľké Zlievce was performed for the first time. However,results of inspection could not be utilized.The final welding seam at the border CSSR and USSR- 1972Ceremonial commencement of operation of the transit gas pipelineVeľké Kapušany24 Slovgas • 5/2007

HistoryReconstruction of the bearing structure on the overbridge at Tornalaafter flooding of the Slaná RiverUtilization of the modern technology from T. D. Williamson for theconnection of gas pipelines and repairs without interruption of operation1990• 1 October - regional operation plants wereliquidated. Operations of compressor stations andthe line part were subordinated under the respectivedepartments in the company Tranzitný plynovodin Prague.1991• 8 November - contract regarding the deliveryof 8 turbo-sets Nuovo Pignone with 23 MW outputdesigned for modernizing and increasing performanceof the Slovak part of the transit systemwas signed.1992• Geographical information systems were graduallyimplemented in the transit system from January.1993• 31 March - an agreement between the governmentsof the Czech Republic and the SlovakRepublic on the dividing of the transit systemto Slovak and Czech parts on territorial principlewas signed. The Slovak part was integrated intothe state-owned company Slovenský plynárenskýpriemysel Bratislava. The Slovtransgaz Divisioncame into being in order to manage operationand maintenance.1994• 30 June - construction of a dispatching centerin Nitra and the state border transfer stationLanžhot was completed. The Slovak and Czechparts of the system started to work independentlyfrom this date.1995• 31 December - validity of the joint federalcontract on transmission of Russian gas with Gazpromended. New contracts came to force separatelyfor each republic after this date.1996• 3 April - one trillion cubic meters of naturalgas have flown through the transit gas pipeline.• 2 November - the first turbo-set Cooper Rollswith 28 MW output was put into trial operation atthe compressor station Jablonov nad Turňou.1997• The efficient new generation cleaning shaftDN 1200, designed and produced at the operationplant Senica, was used for the first time when cleaningthe gas pipeline of the third line. The constructionis protected by industrial property bureausin several European and overseas countries.2001• 2 February - destruction of the gas pipelineDN 1200 followed by a fire which occurred in theVeľký Krtíš district.• 1 July - state-owned company Slovenský plynárenskýpriemysel was transformed to the jointstockcompany with 100 % state participation.2002• 25 April - government of The Slovak Republicapproved selling of 49 % of shares of SPP to theconsortium Ruhrgas, Gaz de France and Gazprom(Gazprom did not utilize its pre-emption rights).2006• The process of the legal unbundling of thejoint -stock company SPP took place. The newdaughter company SPP - preprava, a. s. took overthe role of independent operator of the transmissionsystem from 1 July.Photo: Vladimír Votýpka, Jozef Peniaško,archive of SPP, a. s.Cooper Rolls on CS Jablonov nad TurňouSigning of the privatization protocol5/2007 • Slovgas25

HistoryThe significance and importance of the transit gas pipeline,its economic contribution to the national economyas well as conditions of its formation and the processof its construction is documented in several publications.At the occasion of the 35 th anniversary of TheInternational Transmission in Slovakia I would liketo remember eyewitnesses of those times aswell as contemporaries and some less well- knownevents from the beginning of operation of the transitgas pipeline.Construction and later also operation of thetransit gas pipeline was ensured by the newlyfounded company named Tranzitný plynovod, n.p.Praha. Relocated workplaces, from which operationplants were formed, were created shortly beforethe pumping of gas and the beginning of theoperation.Two long-distance maintenance operation plantsand four compressor stations operation plants wereestablished in the territory of the Slovak Republic.Reorganization took place in 1974 - operationplants were liquidated and two of the so called regionaloperation plants came into being. Their participationon operation was limited only to the executionof instructions because the whole systemwas managed and ensured centrally by respectivedepartments in Prague.Activity of regional operation plants was focusedmainly on the personnel area, economic evidence,transport, auditing activity and the fulfillmentof a social program. This model of organizationdid not prove itself fully and therefore therewere efforts to cancel regional operation plantsand subordinate operations directly under respectivedepartments of the company. Regional operationplants were liquidated in 1991 still beforethe division of the transit system to the Slovak andCzech parts.The beginning of the operation of the transit gaspipeline was very difficult, and even cruel, whenjudged by conditions. Workplaces were placedin provisional facilities of building sites or in leasedpremises without any technical accommodationand with primitive sanitary facilities. Instrumentswere missing, means of transport consistedof several off-road vehicles of Romanian production.New employees entered their jobs onlyseveral weeks before the beginning of operation.None of them had any experience from work in thegas industry and there was no time to train themsufficiently.Prepared as described above, we started topump gas into the first sections of the newly-builtgas pipeline in November 1972. Perhaps the onlygas expert who prepared the whole action andBeautifulrecollectionsof difficult timesIng. Demián SojkaHe worked in the gas industry inthe years 1972 to 2000 in managingpositions , the last one being DeputyDirector of Slovtransgaz Division.Provisionary workshop workplace of the line maintenance in Nitra in the years 1972 to 1979Current modern operation building with central gas dispatching in Nitra26 Slovgas • 5/2007

Historymanaged it, as well, was the deputy director foroperations Ing. Miloslav Čech. He implemented asemi-military regimen at work that was based onthe system of issuing of written orders and processesfor everyday work to the respective workgroups. Even under these conditions we managedto deareate, clean and pressurize the total lengthof 416 km of gas pipeline and prepare gas pipelinefor trial operation.Another very important operational action wasthe connection of new gas pipelines to alreadyoperating gas pipelines, the so-called „sharp interconnection”.The most difficult task of sharp interconnectionswas the creation of a gas-free environmentin piping in a place of connection. In casethat adjoining closing fixtures were not sufficientlytight, cutting out of piping was performed at a verylow pressure of gas in piping. Such an operationalprocess already required ensuring extraordinarysafety measures. It was often necessary tocarry out the cutting of piping in an immediate vicinityof closing fixture without the closing of thepressure- free zone. Such a situation had a negativeimpact on psychi of employees because theyfelt threatened by danger.An absolute work discipline was thereforerequired at these works. Implementation of theT. D. Williamson technology for the connection ofgas pipelines and repairs without interruption ofoperation was a significant act in the operation ofgas pipeline.Provisionary workplaces along the line weresubstituted by modern up-to-date operation sites.They were equipped by a repair technique: employeesacquired practical experience, completedvarious training and courses and knowledgeof regulations was regularly tested by examinations.This way we gradually became profes sionalgasmen.The situation of putting the first compressor stationhalls to operation was much more favorablethan the above-mentioned beginnings of the linepart. The time of preparation of employees wasmuch longer. Newly hired employees participatedin assembling of technological facilities and testsof technology. Suppliers of technological facilitiesperformed comprehensive trials under their owndirection; they trained operators and maintenanceworkers to perform their work and gave them certificatesfor operation of gas installations.I could also mention other actions within operationswhich required maximum effort, sacrificeand mainly technical prowess from employees.Operational tasks were fulfilled reliably and safely,and what is most important, without any seriousemergencies or injuries. Despite the initial difficultiesand problems connected with insufficienttechnical equipment as well as missing professionalexpertise and practical experience.Demanding initial conditions, awareness of theimportance of the operation of the transit gas pipelineand responsibility for its reliable run, strengthenedwork teams so that they mastered successfullyeven the most demanding operationaland extraordinary situations. They became anexample for those who followed them, who successfullymastered and are mastering the imple-5/2007 • Slovgasmentation of new technologies into managementand maintenance of the transit system.Most of the employees that participated in puttingthe transit gas pipeline into operation arenow in well-deserved retirement. However, noneof them regrets that he or she worked a substantialpart of his/her active life in the gas industry.We are pleased and proud of the fact that we havecontributed by our part to the building of this workthat is rightly called the building of the 20 th centu-ry, has its continuators and brings benefit to thewhole society today, too. We follow what is happeningcurrently and epochal changes in the gasindustry with a feeling of work done well.We wish the newly formed joint-stock companySPP - preprava, a.s. a lot of success in operation,maintenance and development of the transmissionsystem.Photo: author, Miroslav EliášWe acquired the first practical experience from operation of long-distance gas pipelines by doingstations in the former Soviet Union - Rostov on Don 1974After 1989, opportunities were created for us to familiarize ourselves with the gas industrytechnologies and control systems in Western Europe - participants of the conference on newmethods of internal inspection, Newcastle 199827

HistoryI always valuedProfessional Expertiseof Slovak colleaguesIng. Pavel ProkešHe worked in the former companyTranzitní plynovod from the year 1972.In the same year he was present the layingof the first line of the transit gas pipelineinto operation. Today he works inRWE Transgas Net, s.r.o. as a Directorof Operation.Destruction of bearing construction at the flood on the Slaná River - 1974Iam very pleased to get a chance to join a numberof congratulators to the 35 th anniversary ofthe beginning of transmission of earth gas by thetransit gas pipeline through the territory of theSlovak Republic.I participated in person at the laying of thegas pipeline DN 1200 of the first line into operationalthough I worked at the section of anticorrosionprotection then. Since that year I havebeen through several positions in the then OperationalSection of Transitní plynovod until the year1990 when I was appointed Head of the Sectionof Operations and Maintenance of the line part.All of this time until the division of Czechoslovakia,I closely cooperated with a lot of colleaguesmainly from the line part Rožňava and Nitra.I am bound by friendship with some of them untiltoday. I always appreciated their professional expertise,cooperativeness and work effort. Thesecharacteristics manifested themselves in solvingoperational breakdowns and emergencies.I remember the most critical ones, randomlychosen e. g. destruction of the gas pipelineDN 900 of the first line at TU Lakšárska Nová Vesin the year 1987 or the deformation of the bridgeconstruction of The Slaná River by flood in theyear 1974. Renewal of operation and repair wasensured in the shortest possible time thanks totheir exemplary work at full stretch.Our work contacts did not stop after SlovtransgazDivision in the independent company Slovenskýplynárenský priemysel came to being afterthe division of Czechoslovakia.I myself watch the work of my colleagues especiallyat operation and maintenance of the linepart, and the way that technical problems are solved.We exchange our experience and knowledgeat regular quarterly negotiations on cooperationin the border section of the Czech and SlovakRepublics. We evaluate cooperation on ourpart very positively because employees of thecompetence center of SPP, a. s. Nitra are verywell prepared from both a professional as well asa managerial point of view.Finally, allow me to thank all employees of SPP,a. s. for the present cooperation and I wish thema lot of work success at work and much health,success and satisfaction of the years to come.Site of the former operation plant of the line part in RožňavaSite of the former operation plant of the line part in Nitra28 Slovgas • 5/2007

HistoryDividing the Transit wasenabled by the goodwill of our PartnersIng. Tibor GalgóczyHe worked in the gas industry in Slovakiain the period of 1976 to 1988and then from 1990 to 1994. He was amember of the commission for the divisionof operational activities and he thenbecame the operations deputy directorin the newly formed division of SlovtransgazDivision.Foreign partners called the Czechoslovak systemof magisterial gas pipeline a common rootof the European gas pipeline. It was constructionof the international gas pipeline Bratstvo in1964 to 1967 and the first deliveries of naturalgas from the branch pipe to Austria in 1967 thatlaid the first foundations.Positive experience from this action led to thedecision to entrust Czechoslovakia with the positionof the main transmitter of the Soviet naturalgas to countries of Middle and Western Europe.This is the reason why the specialized companyTranzitný plynovod was founded in 1971.Magisterial gas pipeline with the capacity of 28billion cubic meters of natural gas per year wasconstructed across Czechoslovakia in the firstphase. Further branches were gradually addedand so the transmission gas pipeline participatedby the building of a bridge between the dividedEurope. It was an advance signal of the releasingof tension and convergence in the politicalsphere, as well.However, separationist political forces whosegoal it was to divide Czechoslovakia got strongerin 1992. This resulted in formation of two newstates and to the inevitable dividing of the companyTranzitný plynovod. The process started on1 January 1993 on the basis of the political decision.Employees of the Slovak part becameemployees of SPP, š. p., Bratislava whereas operationaland dispatching management temporarilystill belonged under the operational sectionand dispatching center in Prague. Financial flowsthrough SPP, š. p. in the first months of 1993 wereensured in such a way that Tranzitný plynovodlent money until Slovak company would have itsfirst income from transit fees.Work commissions (personnel, economic, investment,operational) were set up in order to divideactivities and property with a deadline of 30June 1993. The task of the commission was toagree upon and prepare a continuous transfer ofactivity without interruption of gas transmission.The commissions prepared various agreementsfor a total taking over of management. They finishedtheir work on 30 April 1993 when agreementson cooperation were signed.The term of 30 June 1994 for the total takingover of management was determined by the decisionof Ministry of Economy of The Slovak Republic.From the point of view of operation, it was firstand foremost necessary to build a functional dispatchingcenter and acquire premises and staff.Following analyses, the town Nitra was selected5/2007 • Slovgasas a location for this center. The following technicaladvantages influenced this decision: communicationcable along the pipeline; existing operationalunit for the line part; an opportunity to buya suitable building; opportunities for backgroundstaff; project of modernizing dispatching withan alternative center in Nitra was unfolding; willingnessof suppliers to make changes in projectsand deliveries, modifications of contracts.The Czech party faced the task of building anew gas transfer station in Lanžhot in the recordtime of one year.Commercial and technical definition of transferredgas, which is 5 MPa according to practiceand norms, was another complex problem.However, hydraulic system of gas pipelinerequired higher pressure because of the dividingjunction in Plavecký Peter in the direction to Baugarten.If the pressure of 5 MPa was kept, theSlovak party would be forced to build a regulationbehind the distribution junction and the Czechparty would miss compression work in Breclav.This problem was solved by way of agreement -by defining of the untraditional 5,67 MPa transferpressure.Goodwill of foreign partners, especially Gazprom,who were willing to respect the division ofcontracts between the Czech and Slovak partiescontributed significantly to the possibility of thedivision. A new transmission agreement for thetransmission of gas for The Czech Republic hadto be concluded, too. A new team of techniciansof operational section and dispatching was preparedsimultaneously with building of the technicalpart. It was formed mainly from existingemployees who were familiar with the problemof transmission of natural gas and were willingto change their location and come to Nitra fromanother part of Slovakia. The team was completedby new employees, mainly from the surroundingsof Nitra.All these people started to solve tasks with thefull-stretch work and enthusiasm and the workcould not have been completed in the appointeddeadline without them. The Slovtransgaz Divisiontook over full responsibility for the transmissionof gas through The Slovak Republic.I intentionally have not mentioned any namesin this short presentation but would like to thankall former colleagues for working at full stretchand cooperation in this busy historical period oftransmission of natural gas through former Czechoslovakia.I also congratulate heartily all gasmen in Slovakiaon their anniversary.In the spring of 1993 (the author was the head of the compressor station in Veľké Kapušany then)approximately 50 spherical valves DN 700 were replaced in compressor stations in Slovakia- the photo is taken from a visitor and supplier of these components29

SLOVAK GAS AND OIL ASSOCIATIONAn independent association of companies and individuals active in gasand related Industries, registered with the Civil Administration Section ofthe Slovak Ministry of Interior. SGOA builds on a tradition originating fromthe foundation of Czechoslovak Gas and Water Association in 1919IMPORTANT MILESTONES• 1881 The establishment of Union of GasExperts of Austria-Hungarian Monarchyin Vienna• 1919 The establishment of Gas and WaterAssociation• 1930 Participation of Czechoslovakrepresentatives in preparing the draftIGU status• 1931 The establishment of IGU in London,admission and participationof Czechoslovak representativesin IGU activities• 1951 Administrative dissolution of theAssociation - some of activitiestransferred to the Czechoslovak Societyfor Science and Technology• 1989 Activities resumed in the form ofan independent specialized association• 1990 Constituting congress ofthe Czechoslovak Gas Association• 1991 Becoming IGU member asa representative of the CzechoslovakFederal Republic• 1993 Split into two national unions -Czech and Slovak, confirmationof membership continuation andrepresentation of the Slovak Republicin IGU• 2001 Foundation of 100 % subsidiary SPAs.r.o. - the Slovak Gas Agency designedto organize joint events within gassector• 2003 Election of SGOA representativeto the IGU Executive Commitee• 2005 Set up of „National Slovak Gas IndustryPrize“ for Graduate Thesis 2005MISSION AND OBJECTIVES• Support and strengthening the image of naturalgas as an energy-efficient and environmentallyfriendly fuel, with sufficient reserves bothfor the world as well as for the Slovak Republic• Support of the transfer of information andadvanced technologies from all over the worldto the Slovak Republic, disseminationof collected knowledge in Slovakia• Representation of the Slovak Republic in theInternational Gas Union (IGU) and an activeparticipation in its activities, cooperation withother European and global non-governmentalorganizations• Promotion of corporate members' interestsin the Slovak Republic• Active support of technical and economicprogress within Slovak gas industry• Representation of gas industry in terms ofthe develop ment of legal and technicalregulations in the context of the Slovaklegislation process, and especially with respectto the approximation of respective legislationto the legal environment in EU• Providing SGOA’s position as an integratingelement of Slovak gas sector of principalchanged resulting from SR joining EUINTERNATIONAL ACTIVITIES• Representation of the Slovak Republic in IGUCouncil• Participation in activities of IGU workingcommittees and study groups, coordinationand organization of the Slovak participationin world gas congresses and exhibitions:• 1994 Milan • 1997 Copenhagen • 2000Nice • 2003 Tokyo • 2006 Amsterdam• Organization of IGU's high-level eventsin the Slovak Republic, meetings of IGUworking committees and study groups;meetings of working groups underInternational organizations and foreignorganizations in the Slovak Republic• Membership in the German gas associationDVGW, a close cooperation in the fieldof technical and normative documents, gasindustry training, certification and testing• Membership in European Associationfor Corrosion CEOCOR• Membership in European AssociationMARCOGAZ• Co-operation with foreign professionalorganizations and congress services agencies,participation of lecturers and delegatesat conferences organized by them bothin the Slovak Republic as well as abroad• Coordination of the Slovak participation ininternational conferences, promotionof the Slovak gas industry abroadOTHER INTERNATIONAL INSTITUTIONS• Intergas Marketing• WorId Energy Council• GAS s.r.o. Prague• ČSTZ PragueCONFERENCE SERVICE AGENCIES• SMi Energy Conferences• Adam Smith Institute• IBC Global Conferences• lnstitute for International Research (IIR)

Natural gas iscarried throughpipelines. Forthis part of itsactivities inFranceGaz de France,through itssubsidiaryGRTgaz,operatesEurope’s No.1transmissionnetwork, whichis open to allthe suppliers onthe market.

• so 150 - ročnými skúsenosťami v oblasti plynárenstva• obsluhuje 1, 4 milióna zákazníkov na Slovensku• prepravuje 20% zemného plynu určeného pre Európu• s kapitálovou účasťou Gaz de France a E.ON RuhrgasSPPTradícia plynárenstva v srdci EurópyTradition of gas industry in the heart of Europe• 150-year-old experience in the branch of gas industry• care for 1,4 million of customers in Slovakia• transmission of 20% of natural gas for Europe• capital participation of Gaz de France and E.ON Ruhrgaswww.spp.sk www.spp-preprava.sk www.spp-distribucia.sk