Nagorno-Karabakh’s close proximity to key Azeri oil and gas infrastructure means that there will be more at stake if the region’s conflict with Armenia escalates further and jeopardizes key export pipelines. A Rystad Energy analysis explains how potential disruptions could benefit Russian gas exports while weakening both Turkey’s cheap gas imports and its role as a vital oil transport hub. The Baku-Tbilisi-Ceyhan (BTC) oil pipeline and the South Caucasus Pipeline (SCP) gas conduit both run through Azerbaijan, with some sections lying as little as 25 miles from renewed fighting in Nagorno-Karabakh. Any attack on or seizure of pipeline territory could have serious ramifications for upstream operations in Azerbaijan, and particularly impactful would be any disruption to the giant Azeri-Chirag-Gunashli (ACG) project in the Caspian Sea. These fields, operated by BP, produce about 485,000 bpd of light oil, representing approximately 75% of Azeri crude production. Most of the oil from […]