Kazakhstan announced on Wednesday that it will divert part of its crude from the Kashagan field to China and other routes following last month’s Ukrainian drone strike on the Caspian Pipeline Consortium (CPC) terminal on Russia’s Black Sea coast. The decision follows a Reuters report earlier this week revealing that Kazakhstan plans to supply crude directly from Kashagan to China for the first time because of the disruption.
Impact on the CPC system
The CPC system, which handles around 1 percent of global crude supply and is backed by shareholders from Russia, Kazakhstan and the United States, was forced to reduce export capacity after key loading infrastructure — a single point mooring buoy — was damaged in the attack. The pipeline network also accounts for about 80 percent of Kazakhstan’s oil exports.
Kazakhstan expands flows to China and other routes
Kaztransoil, Kazakhstan’s pipeline operator, said the country will send 72,000 metric tonnes of oil to China, equal to roughly 17,400 barrels per day. It will also increase deliveries through the Atyrau–Samara pipeline to Russia by 232,000 tonnes and boost shipments through the Baku–Tbilisi–Ceyhan pipeline by 58,000 tonnes this month compared with the original plan.
The company added that throughout December 2025 it will offer domestic producers temporary crude storage capacity in its tank facilities.
Ukraine’s strikes on Russian energy infrastructure
Ukraine has intensified attacks on Russian energy installations since August in an effort to undermine funding for Russia’s military. However, its decision to target the CPC — a project with global significance and international partners — has drawn criticism from both Kazakhstan and the Kremlin.
Most crude from Kashagan is typically exported through the CPC to the terminal in Novorossiysk for onward shipment. Kazakhstan’s energy ministry said the Ukrainian strike did not lead to a complete halt in exports. It noted that urgent work is under way to redistribute oil volumes and that measures have been taken to redirect a portion of Kashagan crude to China.
Kashagan field and export routes
Kashagan crude is produced by the NCOC consortium, whose members include China’s CNPC and Japan’s Inpex. The Atasu–Alashankou pipeline, which will be used for the new Chinese-bound flows, links Kazakhstan to China’s Xinjiang region but usually transports oil from other Kazakh fields.
Russia’s Rosneft, which is under US sanctions, moves around 10 million tonnes of oil a year — roughly 200,000 barrels per day — through the same route.
Kashagan, an offshore field and one of the most significant oil discoveries in recent decades, is being developed by Eni, Shell, TotalEnergies, ExxonMobil, KazMunayGaz, Inpex and CNPC.
Source: Reuters
