CPC takes crude oil from large oil reserves in western Kazakhstan and from Russian producers to Russia’s Black Sea port of Novorossiysk, where it is transported by tankers to buyers worldwide.

In 2023, CPC delivered 63.5 million tons of oil to international markets — about 10 percent of CPC crude oil is Russian, with the rest from Kazakhstan’s major oil fields of Kashagan and Karachaganik.

Since the beginning of The Ukraine War In 2022, CPC paid at least $816 million to shareholders of Transneft and Rosneft, Russia’s largest oil companies – and $321 million in taxes to Russian authorities.

Key findings of the investigation:

• Western companies, led by the Chevron Corporation, paid subcontractors who did not perform. In one case, they authorized $48 million in advance payments for work — including for a new pumping station in southern Russia. Building power lines – which disappeared as soon as the payment was made.
• Western oil giants – Chevron, ExxonMobil, Italy’s Ennispa and affiliates of Shell – tried to curry favor with Putin’s allies and the politically influential Kazakh elite by awarding huge contracts.
• The CPC cut corners on safety and reduced the intensity of oil spills in 2021, leading not only to environmental damage but also to allegations of financial corruption. The consortium eventually lost a Russian court case and paid a $98.7 million fine for environmental damage.
• At least five whistleblowers alleged that the affairs of Western oil companies in Russia or Kazakhstan involved improper payments in violation of the Foreign Corrupt Practices Act, a US law that prohibits bribery of foreign officials. is
• Although the Russian government has effectively controlled the pipeline since the war. UkraineKazakhstan has hired an American lobbying firm for a nearly $4 million-a-year contract to help the pipeline remain sanctions-free.

Caspian Cables is an investigation by the International Consortium of Investigative Journalists into the 1,500 km Caspian Pipeline Consortium (CPC), one of the world’s largest crude oil pipeline systems used by both Russia and Kazakhstan.

In a statement to the ICIJ, Sally Jones, a senior media adviser at Chevron, said Chevron and international oil companies have “committed to providing critical technical support to enable the safe and reliable operations of the Caspian Pipeline Consortium.” Who is.”

“Chevron is committed to ethical business practices, acting responsibly, conducting its business with integrity and in accordance with the laws and regulations of each jurisdiction in which it operates,” he said.

He did not directly respond to complaints about Chevron’s role in the pipeline or overpriced contracts, alleged kickbacks or conflicts of interest.

Exxon did not respond to requests for comment, nor did the governments of Kazakhstan or Russia.

A Shell spokesperson said the company does not tolerate bribery in any form. “We are committed to maintaining the highest standards of transparency, ethical conduct and environmental responsibility,” an Eni spokesperson said.

Eni referred questions about the pipeline to CPC, which did not respond to multiple requests for comment.

Notably, India did not feature on the destination map for CPC oil – Kazakh and Russian – until early 2022.

Now, India has emerged as the largest market for CPC-Russia (CPC-R) oil, followed by Turkey and China.

About 67 percent of CPC-R crude entered India in the first nine months of 2024, up from 83 percent in 2023, tanker data from commodity market analytics firm Kpler showed.

Consider this: Between March 2022 and March 2024, 82 of the 117 oil tankers carrying CPC-R oil, which departed from Black Sea loading terminals, discharged oil at Indian ports.

Between January 2021 and February 2022, only five of the 72 tankers carrying the CPC-R made the long voyage to Indian ports. Industry insiders and experts say the reason is simple.

When Russian oil was allowed to flow freely globally, it made no financial and logistical sense for Indian refiners to buy crude from a distant geography like Russia. However, the exemption turns this argument on its head.

While India’s private sector refining giant Reliance Industries (RIL) has been the largest buyer of CPC-R crude, followed by public sector players Indian Oil Corporation (IOC), Bharat Petroleum Corporation (BPCL), Hindustan Petroleum Corporation (HPCL), and Mangalore Refinery and Petrochemicals (MRPL). are buying It shows oil, vessel tracking data.

In the first nine months of 2024, Indian refiners imported a total of 30 million barrels of CPC-R crude, with shipments arriving each month, ship data showed.

In total, 45.56 million barrels of CPC-R crude were shipped globally during the period, with other notable importers being Turkey and China, while some volume went to Pakistan. CPC-R accounted for more than 6 percent of India’s total oil imports from Russia for the period. Russia accounts for more than 40 percent of India’s total oil imports.

In contrast, CPC-Kazakhstan (CPC-K) crude purchases by Indian refiners are few and far between, with isolated cargoes coming to India sporadically. As was the case with CPC-R oil before Russia invaded Ukraine.

The Kazakh share (CPC oil going to India) is still low. CPC-K indeed trades mostly in the Mediterranean region. So, it will go to Mediterranean refiners,” said Victor Katona, head of crude analysis at Kepler.

RIL, IOC, BPCL, HPCL, and MRPL did not respond to The Indian Express’ request for comments.

But Indian government and refining sector officials told The Indian Express that Indian oil and gas companies are neither part of the CPC project nor its stakeholders, but rather its customers.

“We buy oil from many countries and many companies. As a customer, we can only ensure that our deals are fair. An oil industry source in India said that the supplying company or the country What happened or could happen internally is beyond our control and often beyond our knowledge.

India is the world’s third largest consumer of crude oil and depends on imports to meet more than 85 percent of its needs. New Delhi has repeatedly stressed that its priority is to secure its energy supply and that the country is ready to buy oil from any country or company that does not have sanctions.

Russian oil is technically not subject to any sanctions by the US or its allies, and is subject only to price caps.