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Akbar Novruz

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Georgia’s first full-scale oil refinery, Black Sea Petroleum (BSP), has announced plans to fully replace Russian crude with alternative sources, as it seeks to expand exports and align with European market requirements, AzerNEWS reports.

The company’s co-founder and CEO, David Potskhveria, said in an interview that BSP, which initially began operations refining Russian oil, is now actively diversifying its raw material base.

“In the future, this will allow BSP to export products to the European Union market. Our goal is to completely replace Russian raw materials. For this, we are already working with Turkmen oil, and at the next stage we plan to use Kazakh and other alternative sources,” Potskhveria stated.

He emphasized that diversification is critical for unlocking export potential, noting that the European Union currently restricts imports of products derived from Russian oil. Transitioning to non-Russian feedstock would remove this barrier and open access to the EU market.

Potskhveria also highlighted the role of regional logistics, particularly via Azerbaijan, in facilitating new supply chains. “After the start of supplies via this railway network (via Azerbaijan), the transit of other sources, including Kazakh oil, will be automatically possible,” he said, referring to planned shipments of Turkmen crude.

According to Georgian media, BSP aims not only to diversify exports but also to fully meet domestic demand for oil products. The refinery, located in Kulevi, currently produces semi-finished products used in gasoline, diesel and aviation fuel production, with plans to transition to Euro-5 standard fuels by 2027.

The project’s first phase has already been completed, with current annual capacity standing at around 1.2 million tons. Once fully developed, output is expected to reach 4.5 million tons. Total investment in the refinery is estimated at $600 million.