Ukraine reaches agreement on strikes in the Black Sea after meeting with the US — Bloomberg
Kyiv • UNN
Ukraine, a US official said, agreed not to strike non-Russian tankers and certain infrastructure in the Black Sea. This should help preserve Kazakhstan’s oil exports, which have declined.
Ukraine agreed not to strike certain non-Russian tankers and infrastructure vital to the export of Kazakh oil through the Black Sea. Bloomberg reports, citing a U.S. official familiar with the agreement, UNN writes.
According to the publication, the agreement was reached following talks between representatives of U.S. President Donald Trump’s administration and the Ukrainian leadership. It primarily concerns ensuring the safety of commercial shipping and continuing the export of Kazakh oil through the Caspian Pipeline Consortium (CPC) terminal in Novorossiysk, Russia.
Which vessels are involved
According to the U.S. official, Ukraine has undertaken not to attack CPC infrastructure or non-Russian vessels heading to the terminal if they are not under Ukrainian sanctions and are not carrying Russian cargo.
The vessels must also not be owned by Russian individuals or legal entities. According to Bloomberg, the Ukrainian side is providing vessel operators with relevant instructions to help determine which vessels are not at risk of attack.
In addition, Ukraine and U.S. companies are maintaining contacts regarding the safety of commercial shipping. Relevant communication channels have been established through which commercial carriers can provide the necessary information.
Why this is important for Kazakhstan
The CPC terminal in Novorossiysk is critically important for the export of Kazakh oil. Kazakhstan does not have enough alternative routes that could fully replace this one.
Around 2% of global oil supplies pass through the CPC system, while European oil refiners are heavily dependent on supplies from this region.
That is why attacks near Novorossiysk have already created problems for international carriers. After the strikes, some shipowners refused to call at the terminal, fearing for the safety of their vessels.
Attacks have already reduced oil exports
As Bloomberg notes, following a series of strikes in the Novorossiysk area, oil loading through the CPC was suspended repeatedly. Even after operations resumed, volumes remained below normal due to new drone attacks.
According to estimates by sources familiar with the matter, as a result of the latest disruptions, exports of CPC Blend in the current month may fall by approximately one-third. At the same time, this estimate is not final, as some July cargoes were postponed until August.
The risks for shipowners have already affected shipping costs. According to the Baltic Exchange, the earnings of tankers transporting CPC oil to the Mediterranean reached more than $400,000 per day — a record for this route.
Will the agreement restore normal shipping
At the same time, the question remains whether the agreement will be sufficient to fully restore normal export volumes.
Bloomberg notes that previous agreements on protecting commercial shipping did not always guarantee safety. Some vessels whose information had been provided to the Ukrainian side in advance as vessels that should not be targeted were nevertheless attacked.
Therefore, the final effect of the new agreement will become clear after it begins operating in practice. At the same time, its conclusion may reduce risks for international shipowners and help restore Kazakh oil exports through Novorossiysk.