29 Aug 2023 14:28

KazMunayGas plans to ship at least 890,000 tonnes of oil to Germany in 2023

MOSCOW. Aug 29 (Interfax) -At the invitation of its German hosts, a delegation from KazMunayGas visited the PCK (Petrochemie und Kraftstoffe AG) oil refinery in the city of Schwedt during its visit to Germany on August 27-28.

"In the period from February to July of this year alone, our country supplied 390,000 tonnes of oil to Germany via the Druzhba pipeline. In June this year, as part of the visit of the President of Germany, Mr. Frank-Walter Steinmeier, to Kazakhstan, KazMunayGas and Rosneft Deutschland (the plant's management company) signed a contract for the supply of crude oil. I would like to note with satisfaction that contractual obligations are being actively implemented. And according to our plans, the total volume of shipments to Germany in 2023 will be at least 890,000 tonnes," Magzum Mirzagaliyev, Chairman of the Board of KazMunayGas said in a press release.

In addition, Mirzagaliyev met in Berlin with the Parliamentary Secretary of State of the German Ministry for Economic Affairs and Climate Protection Michael Kellner and with the Minister of Economy and Energy of the Federal State of Brandenburg Jorg Steinbach. They discussed the development of cooperation in the oil and gas industry, as well as anticipation of sanctions risks in the context of the current increase in global tension. German officials said "they are happy to strengthen cooperation with Kazakhstan in the oil and gas sector, confirming their interest in increasing the volume of shipments of Kazakh oil, including from the resources of other Kazakh oil companies," KazMunayGas said in a press release.

Kazakh oil is supplied via Druzhba to an oil refinery in the city of Schwedt, which was owned by Rosneft , but in September 2022 was transferred to the control of the Federal Network Agency of Germany. Rosneft Deutschland (a structure of Rosneft) was one of the largest players in the domestic fuel market, accounting for about 12% of German oil refining capacity. The capacity of the refinery in Schwedt is 11.6 million tonnes of oil products per year. From the design stage, the plant has historically been associated with the Druzhba oil pipeline and Russian oil fields. In 2022, the German government turned to Kazakhstan to supply oil to the enterprise.

For 2023, the Kazakh company KazTransOil has a quota from the Russian Transneft to pump 1.2 million tonnes of crude oil to Germany. The first shipment was in February. In 2024, Kazakhstan plans to transport 1.2 million tonnes of oil to Germany via the Druzhba oil pipeline.