4 may
Any relations with members of the EAEU in the field of oil and oil products are carried out on the basis of bilateral agreements. This was stated by the Minister of Energy of the Republic of Kazakhstan Bolat Akchulakov, MIA Kazinform.
"Within the framework of the Eurasian Economic Union, a single market for oil and petroleum products is expected from 2025. Up to this point, any relations with the EAEU members in the field of oil and petroleum products are carried out on bilateral agreements that are subject to ratification," Bolat Akchulakov said, answering journalists' questions after a meeting on the implementation of a comprehensive plan of the Program to increase household incomes until 2025. The Minister separately explained the issue of relations in this area with Belarus.
"The contract with the Republic of Belarus on the supply of oil and petroleum products does not describe the volumes, it describes the principles of operation. The volumes are approved annually, the so–called indicative and balance, which are determined based on the needs of Belarus and the capabilities of Kazakhstan," Bolat Akchulakov said. The head of the Ministry of Energy added that there are technical possibilities for supplies.
"Technical capabilities for infrastructure have existed for a long time, this is a deployed system of oil pipelines that exists today. For petroleum products, this is only rail transportation. After the documents are signed, the ministries of the two countries will begin work. Belarus consumes between 20 and 22 million tons of oil annually. These are very large five factories, they were built, preserved and modernized back in Soviet times. Oil products in Belarus are produced of high quality and meet all European standards, they are historically export-oriented. Within the framework of the EAEU, there is a question that products can be supplied, but not so that they can be re–exported later, but in order to cover needs," Bolat Akchulakov explained. The speaker added that such a volume of oil was usually supplied to Belarus by the Russian Federation.
"Firstly, this is due to the fact that they are nearby. Secondly, Russia still has much more oil production than Kazakhstan. More than 500 million annually and they have a large export position. Then the distance affects the price," Bolat Akchulakov added.
Illustrative photo from open sources