Kazakhstan is still doing plenty of business with Lukoil and Rosneft despite US sanctions against the Russian oil-giants. Kazakh authorities have still not taken action with regard to sanctions and there is no sign that the Russian companies will be pulling out of the country.
Lukoil and Rosneft have significant footprints in Kazakhstan. Lukoil’s assets in Kazakhstan include 13.5% share of the Karachaganak field, 5% share in the Tengiz field, 50% in the Kumkol field, 50% in the Kalamkas‑Sea and Khazar fields, and also a 12.5% share in the Caspian Pipeline Consortium. Rosneft has a 25% share in the Kurmangazy oil field. Lukoil increased its activity in Kazakhstan during Russia’s ongoing invasion of Ukraine.
Oil from Kazakhstan is mainly delivered by pipe with Transneft owning the pipelines going through to Russia that deliver oil from Kazakhstan to Germany. Kazakhstan is increasing its oil supplies to Germany. Rosneft is also exporting oil to China via Kazakhstan.
US President Donald Trump held a meeting with leaders of Central Asian Countries to discuss trade and energy before sanctions against Lukoil and Rosneft were issued. Lukoil’s assets in Europe are being sold off.
There is currently little pressure on Kazakhstan to address its extensive and complex dealings with Lukoil and Rosneft while Europe is not considering alternative pathways for the importation of Kazakh oil so far. Europe plans to fully divest from Russian oil imports after having fully divested from Russian gas.
Newsroom
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