Kazakhstan Seeks New Oil Export Routes After Russia Suspends Caspian Pipeline
(Reuters) — Kazakh President Kassym-Jomart Tokayev on Thursday told his government to diversify its oil supply routes, a day after a Russian court ordered the Caspian Pipeline Consortium to suspend activity for 30 days.
A halt to the pipeline, which carries oil from Kazakhstan's vast Tengiz Field across Russia to the Black Sea, would strain the oil market just as it faces one of the worst supply crunches since the Arab oil embargo in the 1970s.
Tokayev, who has sought to balance relations with Russia, the West and China, ordered a study into building a pipeline across the Caspian Sea, a previously proposed project that would carry Kazakh oil to Europe while bypassing Russia.
Tokayev said that improving port infrastructure on the Caspian Sea was a "strategic task" for Kazakhstan's government, the presidential website said. He did not mention the Caspian Pipeline Consortium according to the website.
Heavily dependent on fossil fuels, Kazakhstan is reliant on Russian pipelines for oil exports to Europe.
On Wednesday, a court in the Russian city of Novorossiisk ordered the CPC pipeline, which handles around 1% of global oil, to suspend operations, citing issues related to oil spills.
Related News
Related News

- Trump Puts Keystone XL Pipeline Back in Discussion, Though Revival Faces Developer Resistance
- Army Corps Lists Enbridge’s Line 5 as ‘Emergency’ Project Eligible to Bypass Environmental Review
- Missouri Loses Control Over 1.5 Million-Mile Gas Pipeline Network as Feds Step In
- Energy Transfer Wins New York Court Ruling in $150 Million Pipeline Fraud Case
- $3 Billion Natural Gas Pipeline Expansion to Add 1.3 Bcf Capacity in Southeast Region
- Kinder Morgan Approves $1.4 Billion Mississippi Crossing Project to Boost Southeast Gas Supply
- Army Corps Lists Enbridge’s Line 5 as ‘Emergency’ Project Eligible to Bypass Environmental Review
- India’s GAIL Eyes U.S. LNG Deals Following Trump’s Policy Shift
- TC Energy Beats Q4 Profit Estimates, Driven by Mexico Pipelines' Success
- Michigan Court Backs Permits for Enbridge’s Line 5 Pipeline Tunnel Project
Comments