Kazakhstan eyes spare capacity on BTC pipeline for oil exports

Kazakhstan is looking to use spare capacity on the Baku-Tbilisi-Ceyhan (BTC) oil pipeline to expand crude exports to international markets, Energy Minister Yerlan Akkenzhenov said on Monday.

Speaking at Baku Energy Week, Akkenzhenov said Kazakhstan was already using the Caspian Pipeline Consortium (CPC) route close to full capacity and needed additional export routes.

“Last year we experienced problems with CPC and had to limit production. We need additional routes to transport Caspian oil to international markets,” he said.

According to the minister, BTC currently has around 25 million tonnes of spare annual capacity, which Kazakhstan could utilize in the near future.

Kazakhstan exports around 80% of its crude oil production to international markets, with Europe remaining its main destination, Akkenzhenov said.

He added that concerns over shipping through the Strait of Hormuz had prompted interest in Kazakh crude from countries including South Korea, Thailand and Indonesia.

Akkenzhenov said BTC was not only a route linking the Caspian Sea to the Mediterranean but also provided access to loading facilities for very large crude carriers (VLCCs) at Turkey’s Ceyhan terminal, creating additional economic value for customers.

“BTC is one of the best export routes for Kazakhstan not only today but also in the future,” he said.