The first shipment of Azerbaijani petroleum products to Armenia is now en route by rail via Georgia, with 22 railcars carrying approximately 1,220 to 1,300 tonnes of AI-95 motor gasoline produced by SOCAR dispatched on December 18. The shipment follows a November 28 agreement reached in Gabala between the Armenian and Azerbaijani deputy prime ministers and is taking place as a private commercial transaction, with Georgian Railways providing one-time free transit through Georgian territory.
The development has drawn attention given that SOCAR, the producer of the fuel, is Azerbaijan’s state oil company and is fully owned by the Azerbaijani government. The shipment comes in the aftermath of Azerbaijan’s 2023 military offensive that resulted in the ethnic cleansing and forced displacement of the Armenian population of Artsakh, as well as the continued illegal detention and ongoing sham trials of former Artsakh leaders.
Prime Minister Nikol Pashinyan confirmed the shipment on December 18 and welcomed the development, commenting on reports first published by Azerbaijani media earlier in the day.
“I also saw that a train carrying oil products from Azerbaijan has already started moving and is heading to Armenia. I welcome this development,” Pashinyan said. “The trade is taking place between private companies. But, of course, it is the peace established between Armenia and Azerbaijan that has created the political conditions for this trade.”
According to the Prime Minister, the gasoline was purchased by a private company, and only one train carrying Azerbaijani oil products is currently on its way to Armenia. He added that while political-level agreements exist, their details will be communicated to business circles in both countries, with additional deals possible if there is sufficient commercial interest.
The shipment stems from an agreement reached on November 28 in Gabala between Azerbaijani Deputy Prime Minister Shahin Mustafayev and Armenian Deputy Prime Minister Mher Grigoryan. The fuel was dispatched from Azerbaijan’s Bilajari railway station and is expected to reach Armenia in the coming days.
Armenia’s Economy Minister Gevorg Papoyan also confirmed that the fuel-loaded railcars have left Azerbaijan and are heading toward Armenia. He described the SOCAR-produced AI-95 gasoline as having high quality indicators and said its competitiveness would be determined by market outcomes.
“If businesses continue importing it and prices go down, then it means it is competitive. If prices do not go down, I assume businesses will not continue importing it,” Papoyan said.
Papoyan noted that the size of the first shipment was determined by the importing company or companies themselves and declined to name them until after the fuel arrives in Armenia.
“The process has started. Let us fix the fact that instead of war, we are trading. War brings losses, trade brings prosperity,” the minister said, adding that peace is reflected not only in the absence of gunfire but also in the resumption of business activity.
Officials on both sides have emphasized that the export is entirely commercial in nature, with gasoline sold at prices aligned with international market rates and without political conditions.
Transit through Georgian territory was coordinated in advance. Georgia’s Ministry of Economy and Sustainable Development said on December 8 that it received a request on December 5 to carry out a one-time transit of fuel from Azerbaijan to Armenia via Georgia. By decision of Georgian Prime Minister Irakli Kobakhidze, Georgian Railways was instructed to transport the cargo free of charge.
The shipment follows earlier reports by Azerbaijani media claiming that fuel supplies to Armenia had been obstructed due to Georgian tariff policies. Armenian authorities confirmed earlier this month that discussions were held with Georgian counterparts to resolve transit-related issues. Kobakhidze has previously stated that Georgia takes into account the interests of both Armenia and Azerbaijan in negotiations on cargo transit.
Looking ahead, Pashinyan acknowledged that certain issues related to Georgian railway tariffs remain unresolved.
“If these issues are not resolved, economic operators will logically seek alternative ways to ensure imports and exports, should these deals continue to be of interest,” he said.
