Kazakhstan, thanks to its rich hydrocarbon reserves, is a strategic player in the global energy market. The country has approximately 30 billion barrels of proven oil reserves. This ranks it among the top 15 countries globally and boasts major oil fields such as Kashagan, Tengiz, and Karachaganak in the Caspian Sea basin.
Pipelines passing through Russia have been a primary route to access the European market. The Russian-controlled Friendship (Druzhba) Pipeline and the Caspian Pipeline Consortium (CPC) play a critical role in this regard. Recent geopolitical tensions, global concerns about energy security, and sanctions have led Kazakhstan to diversify and increase its export routes.
From a geopolitical perspective, the Adriatic Pipeline is of great importance to Hungary. The vast majority of the country’s oil imports are currently provided through the Druzhba Pipeline. Energy relations between Hungary and Kazakhstan are based on a long history of cooperation. In February 2025, bilateral talks between Hungarian Minister of Foreign Affairs and Foreign Trade Péter Szijjártó and Kazakh Minister of Energy Almasadam Satkaliyev in Astana resulted in an agreement to supply Kazakh oil to Hungary via this pipeline. However, this maritime shipment has proven in practice the viability of alternative routes[i].
Kazakhstan’s first crude oil shipment to Hungary via Croatia on August 4, 2025, marked a new chapter in the state’s energy export strategy. This shipment bypassed the pipeline under Russian control, creating an alternative access route to the European Union (EU) market.
The 85,000-ton shipment between Kazakhstan’s national gas and oil company, KazMunayGas (KMG), and Hungary’s energy giant, MOL Group, is the result of a deepening business partnership between the two. As part of their long-standing partnership, oil was delivered to Hungary’s Százhalombatta refinery. Crude oil was also transported by sea from Russia’s Port of Novorossiysk to Croatia’s Port of Omišalj, from where it was transported to Hungary via the Adriatic Pipeline, operated by Croatia’s state-owned oil pipeline operator, JANAF[ii]
Kazakhstan’s maritime logistics partnership was carried out with the tanker Alatau, through Kazmortransflot. This technique provides Kazakhstan with direct access to the European market without relying on Russia for land transportation. KMG stated in a statement that this phase will “significantly expand the geographical scope” of its oil exports and strengthen its presence in the EU market. The implementation of this shipment is strategically important for Kazakhstan for several key reasons.
First and foremost, the government’s economy’s substantial reliance on gas and oil exports has made diversifying export routes increasingly necessary. Reducing dependence on pipelines passing through Russia provides Kazakhstan with greater leeway in the face of geopolitical threats. This is considered not only a technical logistical improvement but also a significant turning point in Kazakhstan’s policy of accessing the EU energy market. Currently, Kazakhstan’s oil exports to Europe are largely routed through Russia. However, increasing geopolitical risks, the Russo-Ukrainian War, and the European Union’s strategic goal of reducing its dependence on Russian energy reserves have led the country to develop alternative export routes.
The EU’s decision to completely halt Russian oil imports by 2027 was another key factor in accelerating this process. Following this shipment, representatives of KMG, MOL Group, and JANAF met at the Port of Omišalj, Croatia, to discuss future partnership opportunities. As a result of these meetings, an agreement was signed between Kazakhstan and Hungary, ensuring their regular oil supply and establishing a closer partnership in the energy sector. This agreement aimed to institutionalize the country’s position in the EU market[iii].
This first oil shipment from Kazakhstan to Hungary via Croatia carries multifaceted significance in terms of international trade, energy logistics, and diplomacy. With this delivery, Kazakhstan has created an alternative route to the EU market, while Hungary has taken a concrete step toward further reducing its energy dependence on Russia. This progress aligns with the EU’s energy diversification policy and could contribute to the creation of a sustainable energy corridor between Central Europe and Central Asia. The implementation of alternative energy routes is strategically important not only for supply security but also for increasing states’ international political maneuverability.
In conclusion, this first shipment of 85,000 tons is more than just symbolic; it should be considered the beginning of new energy routes extending from Central Asia to Europe. The regular and increasing use of this route in the future has the potential to alter regional balances, both politically and economically. In this context, this step taken in 2025 may be remembered as a turning point in international energy history in the coming years.
[i] “Kazakhstan Delivers First Oil Shipment to Hungary via Croatian Port”, Caspian News, https://caspiannews.com/news-detail/kazakhstan-delivers-first-oil-shipment-to-hungary-via-croatian-port-2025-8-5-53/, (Date Accessed: 11.08.2025).
[ii] “Kazakhstan Sends First Oil Shipment to Hungary via Croatia, Bypassing Druzhba Pipeline”, Orda, https://en.orda.kz/kazakhstan-sends-first-oil-shipment-to-hungary-via-croatia-bypassing-druzhba-pipeline-7658/, (Date Accessed: 11.08.2025).
[iii] “Kazakhstan Begins Oil Exports to Hungary”, The Times of Central Asia, https://timesca.com/kazakhstan-begins-oil-exports-to-hungary/, (Date Accessed: 11.08.2025).
