Kazakhstan’s Oil Output Drops 6% after Damage Cuts CPC Export Capacity

Kazakhstan’s oil output has fallen sharply after damage at the Caspian Pipeline Consortium (CPC) export terminal disrupted flows, tightening supplies from one of OPEC+’s largest non-core contributors and forcing operators to curtail production, Reuters reported on Thursday.
Output dropped in the first two days of December after storms and structural damage limited loading capacity at the Black Sea terminal, prompting producers to scale back throughput as storage filled.
Kazakhstan’s oil and condensate output fell by about 6% in the first days of December, Reuters said, reflecting the combined effect of storm damage and the temporary halt in CPC loadings after the terminal’s equipment was hit earlier in the week.The decline shows the immediate operational impact of reduced CPC capacity, as producers have few alternative routes capable of taking significant volumes. Kazakhstan relies on the CPC for roughly 80% of its crude exports
The disruption comes at a sensitive moment for Kazakhstan, which has been attempting to stabilize production following repeated CPC interruptions earlier this year. The CPC line remains the country’s primary export artery for the Tengiz, Kashagan and Karachaganak fields, which anchor Kazakhstan’s upstream sector.
The latest setback follows months of planning by Astana to expand downstream resilience. Kazakhstan has publicly outlined plans to increase domestic refining capacity through 2040, aiming to reduce its dependence on the CPC corridor while meeting rising internal fuel demand. Officials describe Kazakhstan’s longer-term refining strategy as central to diversifying away from the bottlenecks that routinely disrupt crude sales.
Exporters have continued to load limited volumes during the repair work, according to earlier reports on CPC’s ability to maintain partial flows after drone-related damage, but Thursday’s reduction suggests that storage and scheduling constraints are now forcing a wider upstream pullback.
Traders told Reuters that liftings may remain constrained until the terminal completes structural repairs and clears the backlog of delayed loadings.

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