Baku: Azerbaijan, Kazakhstan, and Turkmenistan need to develop additional supply routes for oil transport, as highlighted by Colin Nesbeth, head of Central Asia Marketing company. Nesbeth addressed the issue during the II Caspian and Central Asia Oil Trade and Logistics Forum organized by GLENMAR Group, APA-Economics reports.
According to Azeri-Press News Agency, Nesbeth pointed out that oil from Kazakhstan’s Tengiz and Kashagan fields is directed to the Baku-Tbilisi-Ceyhan pipeline via Aktau. However, the railway corridor leading to Aktau has a maximum capacity of about 5 million tons, while current operational indicators stand at 3-4 million tons.
Nesbeth noted that limited state funding, a shortage of vessels, and weak port infrastructure are major challenges. The shortage of tankers is particularly concerning, exacerbated by Russian vessels being removed from service due to sanctions. Dredging works at Aktau port are urgently needed, and the decline in the Caspian Sea’s water level further complicates the situation, with maximum loads sometimes reduced to 7-8 thousand tons.
He emphasized the necessity of not just alternative but additional supply routes to address these issues. Significant investments are required in railway and port infrastructure on both sides of the Caspian Sea, with one potential solution being the installation of single-point moorings (SPM).