KMG Kashagan B.V., a subsidiary of Kazakhstan’s national oil company KazMunayGas (KMG), has sent the first batch of oil from the Kashagan field to Baku, Azerbaijan, for export through the Baku-Tbilisi-Ceyhan (BTC) pipeline.
Report informs, citing the company, that the Kazakh tanker Taraz, carrying the Kashagan crude, departed from the port of Aktau and is headed to Baku. This export operation is part of KMG’s efforts to implement President Kassym-Jomart Tokayev’s directive to develop alternative routes for the country’s hydrocarbon exports.
From Baku, the oil will be transported via the BTC pipeline to the Mediterranean Sea. This move is expected to further strengthen the Trans-Caspian International Transport Route, the company said.
In 2022, KMG and the State Oil Company of Azerbaijan (SOCAR) signed a general agreement on the transit of Kazakh oil. A test shipment of 7,000 tons of oil from the Kashagan field via Azerbaijan was carried out in March 2023 by Inpex North Caspian Sea Ltd. In March 2024, KMG and SOCAR concluded an agreement to gradually increase oil transit through Azerbaijan, with plans to reach 2.2 million tons per year.
KMG Kashagan B.V. manages Kazakhstan’s participating interest in the North Caspian Sea Production Sharing Agreement. The company holds a 16.88% stake and represents KMG’s interests in the North Caspian Project (NCP), engaging in exploration and production of hydrocarbon resources in the Caspian Sea. Additionally, it independently transports and sells its share of production.
