Romania’s oil supplies at risk after Kazakhstan suspends shipments through Novorossiysk CPC terminal

Following attacks on tankers while they were loading Kazakh oil at the Caspian Pipeline Consortium (CPC) terminal in the Russian port of Novorossiysk on the Black Sea, Astana “is forced to stop” pumping oil through the pipeline to the CPC terminal and will no longer deliver via the Black Sea, according to Bloomberg. 

Kazakhstan delivers just over 50% of the crude oil refined in Romania, with under 30% coming from local resources and the rest of some 20% coming from Azerbaijan and Iraq.

The government of Romania will “seek solutions if Kazakhstan's decision to halt crude oil transport through the CPC pipeline, amid the security situation in the Black Sea, will have a major impact on fuel prices,” interim economy minister Irineu Darău commented on Wednesday, July 22, as reported by Digi24. He warned, however, that any interventions must be proportionate, adopted at the right time and analysed so as not to distort the economy.

Oil loading operations at the CPC marine terminal were suspended after two tankers carrying Kazakh crude came under a drone attack on July 19, prompting authorities to assess the damage before exports can resume, according to Astana Times.

The CPC pipeline is Kazakhstan’s primary crude oil export route, transporting the majority of the country’s oil exports from West Kazakhstan to the Russian Black Sea port of Novorossiysk for shipment to international markets.

On Friday, July 17, the oil tanker "Nordic Zenith" was damaged by two drones and caught fire as it approached the maritime terminal. A day later, drones hit the oil tankers "Asia" and "Nissos Ios", and on Monday, July 20, the oil tanker "Nelsa". Kazakh authorities have described the incidents as unacceptable and said the attacks harm the country's economic interests. The Kazakh Foreign Ministry said the state would defend its rights in accordance with international law and intended to seek full compensation.

iulian@romania-insider.com

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