Kazakhstan Weighs New Routes as Drone Strikes Squeeze Black Sea Oil Exports

Kazakhstan is exploring alternative routes for its oil exports as it faces ongoing threats to its shipments from the Russian Black Sea port of Novorossiysk. The Kazakh Ministry of Energy has indicated that pipelines through Azerbaijan, Georgia, and Turkey are being considered, alongside re-routing seaborne shipments. This comes as Kazakh crude oil exports have been severely impacted by Ukrainian drone attacks on Russia's oil export infrastructure.

In July alone, there were multiple suspensions of shipments through the Caspian Pipeline Consortium (CPC) due to the attacks. Kazakhstan's crude oil is predominantly transported through the CPC, which links Caspian Sea fields to the Novorossiysk port. The pipeline, operated by CPC, transports oil from major fields in Kazakhstan, including Tengiz, Kashagan, and Karachaganak, where international oil firms such as Chevron, ExxonMobil, Shell, and Eni hold stakes.

Despite the ongoing threats, the Kazakh Ministry of Energy is actively working on alternative routes to ensure the continued flow of its oil exports.