Kazakhstan: the Russian court of appeal returns to let oil flow to Europe
FILE PHOTO: An interior view shows a new pumping station of the Caspian Pipeline Consortium (CPC) near the city of Atyrau, Kazakhstan October 12, 2017. REUTERS / Mariya Gordeyeva // File Photo
The Russian appeals court in Krasnodar on Monday overturned the decision of an ordinary court that had ordered the suspension of most of Kazakhstan's crude oil exports from a Russian port on the Black Sea.
Last week, a Russian court ordered the Caspian Pipeline Consortium (CPC), which operates the key export route for two-thirds of Kazakh crude oil, to suspend operations for 30 days, citing environmental violations. Exports are made from the Russian port of Novorossijsk on the Black Sea. Although the port is in Russia, CPC exports consist of 90% Kazakh crude and only 10% Russian oil.
The 1,500 km-long CPC pipeline from the giant Kazakh oil fields in Novorossiysk carries more than two-thirds of all Kazakh oil exported along with crude oil from Russian fields, including those in the Caspian region. In response to the court's previous ruling, the consortium said last week that it “acted within the legal framework of the Russian Federation and was forced to execute the court's ruling”, and therefore to stop sending.
The Krasnodar court today overturned the suspension of CPC's business activities for 30 days and instead imposed a fine of $ 3,195 (200,000 Russian rubles) on the consortium, the consortium said in a statement.
For reference, the CPC stated that "the immediate suspension of its activity can lead to irreversible consequences for the operational process, the emergence and development of an adverse and uncontrollable process in a technical facility, including its destruction, since the requirements of the process for the transport of oil do not allow the immediate and simultaneous stop of operations ".
Last week's Russian court ruling came just days after Kazakhstan President Kassym-Jomart Tokayev proposed that the EU buy more oil from Kazakhstan rather than Russia. The ruling of the Russian ordinary court seemed almost like a political signal hostile to the Central Asian state.
The Kazakh president "expressed concern about the risks to global energy security and stressed Kazakhstan's readiness to use its hydrocarbon potential to stabilize the situation in world and European markets", according to the president's website, which the last week he had a telephone conversation with the President of the European Council, Charles Michel.
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The article Kazakhstan: the Russian court of appeal returns to make oil flow in Europe comes from ScenariEconomici.it .
This is a machine translation of a post published on Scenari Economici at the URL https://scenarieconomici.it/kazakistan-la-corte-dappello-russa-torna-a-far-fluire-il-petrolio-in-europa/ on Tue, 12 Jul 2022 11:30:32 +0000.