Caspian cuts
The two producers have pledged to trim oil output but the long-awaited Kashagan project will probably boost the region's supply, not crimp it
Between them, Azerbaijan and Kazakhstan are on the hook for 55,000 barrels a day in cuts. Baku is to account for 35,000 b/d (or 0.87m tonnes) of this, and says the oil will be gone by June. It's not clear how serious Kazakhstan is taking its commitment to the deal, especially with big plans underway to lift production from its much-delayed Kashagan project. Azerbaijan: the cuts were coming anyway Azerbaijan's reduction is actually natural decline dressed up as a cut, and the target is in line with what it was expecting to lose, deal or no deal. Output in 2017, says the government, will come in at 39.8m tonnes (about 0.8m b/d), compared with 41.2m last year. Whether this drop enters the ledge

Also in this section
23 June 2025
Jet fuel will play crucial role in oil consumption growth even with efficiency gains and environmental curbs, with geopolitical risks highlighting importance of plentiful stocks
23 June 2025
A blockade of the Strait of Hormuz would have reverberations that would sound around the world
20 June 2025
The scale of energy demand growth by 2030 and beyond asks huge questions of gas supply especially in the US
20 June 2025
The Emirati company is ramping up its overseas expansion programme, taking it into new geographic areas that challenge long-held assumptions about Gulf NOCs