Georgia May Replace Russian Oil with Imports from Turkmenistan and Kazakhstan
Georgia’s only oil refinery, owned by Black Sea Petroleum (BSP), plans to completely stop importing Russian oil and instead switch to crude supplies from Turkmenistan and, potentially, Kazakhstan. This was announced by the company’s CEO, David Potskhveria. According to Potskhveria, the shift would not only diversify supply sources but also open access to European markets. “We will completely replace Russian oil with Turkmen oil, and then with Kazakhstani oil. This will give us the opportunity to export products to the EU,” he said. The rationale is straightforward: imports of Russian petroleum products into the European Union are currently prohibited. Maintaining previous supply arrangements would effectively block access to European markets. However, switching suppliers presents logistical challenges. As Potskhveria noted, processing of Turkmen crude can begin only after transit issues through Azerbaijan are resolved. For now, logistics remain the main bottleneck. While the refinery is technically ready, implementation depends on securing reliable transport routes. The proposed move away from Russian oil follows earlier developments. In late February, the EU considered including the Kulevi port on a preliminary sanctions list due to its import and processing of Russian crude. The trigger was a shipment delivered in October 2025 by Russneft, involving approximately 105,000 tons of oil to the port of Kulevi. The shipment prompted criticism from the Georgian opposition, which accused the authorities of undermining the sanctions regime and appealed to European institutions. The Kulevi refinery is a relatively new entrant to the regional oil market. It began operations in December last year and has already outlined expansion plans. Its current processing capacity is around 1.2 million tons per year, with plans to increase this to 4.5 million tons. At present, the facility produces fuel oil, diesel, and other petroleum products. Future plans include expanding output to Euro-5 standard gasoline, jet fuel, and Eurodiesel. BSP’s international partners reportedly include Trafigura and Saudi Aramco.
