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Kazakh oil to continue flowing from Novorossiysk but the damage to Russian-Kazakh relations has been done
15 July 2022
On July 12, a Russian court in Southern Krasnodar upheld an appeal by the Caspian Pipeline Consortium (CPC) after a previous ruling made last week by a district court ordered the oil transporter to cease operations due to ecological concerns. The initial decision led Kazakhstan’s President Kassym-Jomart Tokayev to look toward new routes for Kazakh energy exports. While the decision will suit Kazakhstan’s energy sector in the short-term, the persistent instability since Russia’s invasion of Ukraine is likely to result in Kazakhstan seeking to free itself from Russian dependence for the export of its energy resources in the medium to long term. For the Kremlin, Nur-Sultan’s willingness to engage with Western countries is a cause for concern and could signal the weakening of Russian hegemony in Central Asia. Kazakh oil may be flowing again from Novorossiysk but the damage to Russian-Kazakh relations has been done.