Russia’s new foreign tanker rules stir concerns over Kazakh oil exports

Kazakhstan's Energy Ministry has denied reports that Russia has stopped shipments of Kazakh oil from Black Sea ports due to restrictions on foreign tankers.

"To date, shipments of Kazakh oil through the seaports of the Russian Federation have not been suspended," the ministry assured, Caliber.Az reports per Kazakh media. 

Earlier, industry sources told Reuters that foreign oil tankers have been temporarily barred from loading at Russia’s main Black Sea ports following new regulations, effectively blocking significant oil exports from Kazakhstan, industry sources said on July 23. 

The restrictions, which also affect Russian oil shipments from the Novorossiisk port, could reduce global oil supply by over 2 per cent, according to Reuters estimates. 

The ban comes shortly after the European Union imposed fresh sanctions on Russia, complicating operations of the Caspian Pipeline Consortium (CPC), a key conduit for Kazakh oil exports. The CPC pipeline, carrying more than 80 per cent of Kazakhstan’s oil, transports crude through Russia’s Yuzhnaya Ozereevka terminal, with shareholders including US energy giants Chevron and ExxonMobil.

The new restrictions follow a law signed by Russian President Vladimir Putin on July 21, requiring foreign ships to obtain approval from Russia’s FSB security service to enter the country’s ports. The decree mandates that permission from port authorities must be coordinated with the FSB, a successor to the Soviet-era KGB, and took effect immediately.

Industry sources expressed optimism that the port access issues would be resolved within a day or two. Black Sea CPC Blend oil exports from the CPC terminal are projected at 1.66 million barrels per day for August, nearly unchanged from July’s plan. In July, exports and oil transit via Novorossiisk are estimated at around 2.2 million metric tons.

By Sabina Mammadli