Kazakhstan’s crude oil exports to Germany are set to decrease significantly in June, dropping to 160,000 metric tons from 230,000 tons in May. This announcement was made by KazMunayGaz, the national energy company of Kazakhstan, on Thursday. This reduction marks a notable change in the volume of oil dispatched to Germany, which primarily relies on the Druzhba oil pipeline running through Russia.
Despite this decrease in June, KazMunayGaz has projected that the total supplies for the year will still amount to 2 million tons, equivalent to approximately 40,000 barrels per day. This is an increase from the 1.5 million tons scheduled for 2024, indicating that Kazakhstan plans to ramp up its oil exports in the coming year. To differentiate its crude oil from Russia’s Western-sanctioned Urals blend, Kazakhstan has branded its own oil as KEBCO (Kazakhstan Export Blend Crude Oil).
This strategic naming allows for clearer identification of the origin and quality of the oil being exported, particularly amid the geopolitical complexities surrounding oil exports. The decrease in exports and the ongoing adjustments reflect Kazakhstan’s adaptive strategies in the global oil market, where supply dynamics are frequently influenced by various factors, including international sanctions and regional agreements. As countries navigate these challenges, Kazakhstan’s role as a crude oil supplier remains significant, with plans for future growth in its export capacity.