KazTransOil increases transit of Russian oil to China in Jan-April 3.8%

ASTANA. May 15 (Interfax) - Kazakhstan's KazTransOil shipped 3.342 million tonnes of Russian oil in transit to China in January-April 2024, the company's press service said .

The transit of Russian oil to China reached 3.218 million tonnes from January through April 2023, the company's press service told Interfax. This was a 3.8% increase.

Last year, Kazakhstan supplied 9.989 million tonnes of oil from Russia via transit to China.

KazTransOil has been transiting Russian oil via Kazakhstan to China since 2014 under an agreement between the governments of Kazakhstan and Russia dated December 24, 2013.

KazTransOil has ensured the supply of 91 million tonnes of Russian oil via the territory of Kazakhstan to China from 2014-2023, the company said.

It became known in May 2023 that KazTransOil had extended the agreement on the transit of 10 million tonnes of Russian oil per year to China through 2034 while maintaining the current tariff.

Energy Minister Almasadam Satkaliyev said that Kazakhstan would earn $1.7 billion from the transit of Russian oil to China from 2024 to 2033. The agreement to extend transit services includes a section of the route along the Tuymazy - Omsk - Novosibirsk - 2 (TON-2) main oil pipeline at a fixed tariff of $2.1 per tonne, he said.

The Atasu - Alashankou main oil pipeline is part of the Kazakhstan - China main oil pipeline system and belongs to Kazakhstan-China Pipeline LLP, a joint venture between KazTransOil JSC (50%) and China National Oil and Gas Exploration and Development Company Ltd. (50%). The design capacity of the Atasu - Alashankou main oil pipeline is 20 million tonnes of oil per year.

KazTransOil is the national operator of Kazakhstan's main oil pipeline. It is part of the KazMunayGas group. It owns a diversified network of main oil pipelines with a length of 5,400 km.