Russneft delivers first oil cargo to Georgia’s new Kulevi refinery

Russian oil company Russneft has supplied its first oil shipment to Georgia’s newly built Kulevi oil refinery this month, according to LSEG ship-tracking data and industry sources, who spoke to Reuters.

The delivery marks a notable economic exchange between Russia and Georgia, countries that have had no formal diplomatic relations since the brief 2008 war over Moscow-backed breakaway regions of South Ossetia and Abkhazia.

Under the ruling Georgian Dream party, however, Tbilisi has steadily deepened economic ties with Russia, even as relations with Western countries have cooled sharply.

According to LSEG data and a trader familiar with the transaction, the tanker Kayseri transported 105,340 metric tons of Siberian Light crude oil from the Russian Black Sea port of Novorossiisk to the Kulevi Oil Terminal on October 6. 

The shipment comes as Russia seeks to diversify its exports in response to Western sanctions related to the Ukraine conflict.

Operations at the Kulevi refinery began this month, with an initial processing capacity of roughly 1.2 million tons of oil annually, equivalent to about 24,000 barrels per day.

Officials plan to gradually expand the refinery’s capacity to 4 million tons per year by 2028, aiming to supply fuel for both domestic consumption and export markets.

By Tamilla Hasanova