Russian President Vladimir Putin has urged foreign investors, including those from Kazakhstan, to supply Russia with the equipment necessary to maintain the Caspian Pipeline Consortium (CPC), despite international sanctions.
Putin made the statement during a meeting with top Russian officials regarding a drone attack on a pump station along the CPC, the main route for Kazakh oil exports.
«This is not a Russian organization; this is an international organization. This is why, as far as I am concerned, this oil belongs to all foreign investors under the product-sharing agreement. I mean the oil that went through the CPC pipeline. I believe these companies are participating in estimating the damage caused by the attack. They are also trying to identify a possible timeline for restoring the facility and their role in this process,» Putin said.
He emphasized that foreign investors must supply the necessary equipment despite sanctions if they want CPC operations to resume.
«If there is something the Russian government can do, please do it,» Putin added, addressing the Russian cabinet.
The CPC was attacked on Feb. 17. Russian authorities immediately blamed Ukraine for the attack, and Kyiv confirmed the claim.
Russian company Transneft, one of CPC’s shareholders, estimated that recovery operations would take between 45 and 60 days. Meanwhile, experts say Kazakhstan’s oil exports through the pipeline may decline by 30%, potentially costing the country $600 million in revenue.
However, Kazakhstan’s Ministry of Energy stated that the CPC continues to accept Kazakh oil under its regular schedule without limitations.
Russia is the largest CPC shareholder with a 24% stake. Kazakhstan is represented by KazMunayGas (19%). Other shareholders include Chevron Caspian Pipeline Consortium Company (15%), Mobil Caspian Pipeline Company (7.5%), Lukoil (12.5%), Rosneft-Shell Caspian Ventures Ltd., a Russian-U.K. joint venture (7.5%), Eni International N.A. N.V. S.ar.l. (2%), BG Overseas Holdings Ltd. (2%), Oryx Caspian Pipeline LLC (1.75%) and Kazakhstan Pipeline Ventures LLC (1.75%).
