Contamination Crisis: Major Oil Companies Report Organic Chlorides in Azerbaijani Oil via Key Pipeline

British Petroleum (BP Plc) and Italy's Eni SpA have independently reported the presence of fuel containing organic chlorides in oil supplied through the critical Baku-Tbilisi-Ceyhan (BTC) pipeline, accusing Azerbaijan of the contamination.

The issue centers on the discovery of organic chlorides, chemical substances often used to enhance raw material extraction, within batches of crude oil. When present in significant quantities, these compounds pose a serious threat, capable of causing extensive damage to oil refineries and their equipment.

The BTC pipeline is a vital artery for Azerbaijani oil exports, transporting substantial volumes to the port of Ceyhan in Turkey. BP Plc, which is the largest oil producer in Azerbaijan, also manages BTC Co., the company responsible for the pipeline's construction and operation.

BP Plc was the first to announce awareness of "potential problems with the contamination of individual batches of oil from Azerbaijan," as reported by Bloomberg. The company confirmed that "BTC Co. has been notified of a potential quality issue related to organic chlorides in some batches of oil supplied through the BTC pipeline." Currently, "BTC Co. is assessing the quality of crude oil at all facilities along the pipeline," BP added, indicating an ongoing evaluation of the situation.

Italy's Eni SpA subsequently confirmed that it had also acquired a portion of the contaminated crude, which reached its refineries. The contamination was detected during the company's internal testing procedures. An Eni representative emphasized their commitment to safety, stating, "The oil already entering our systems will now be processed appropriately, without risk to the environment, health, or safety."

The Baku-Tbilisi-Ceyhan pipeline is a crucial export route for Azerbaijani crude, handling approximately 575,000 barrels per day since the beginning of the year, according to Bloomberg. Kazakhstan also utilizes this pipeline for its oil exports. Historically, instances of oil supplies containing excessive organochlorine compounds have had a notable impact on the global fuel market. As of October 2024, Azerbaijan has exported oil to eight countries.

The ongoing assessment by BTC Co. and the proactive measures taken by Eni highlight the seriousness of the contamination and the industry's focus on mitigating potential risks to infrastructure and the environment.