Georgia's Oil Product Output Rises 26-Fold in Eight Months

Georgia produced 858,500 tonnes of oil products in January to August 2026, more than 26 times the 32,500 tonnes made in the same months of 2025, according to National Statistics Office of Georgia (Geostat) figures reported by Georgia Today on 29 October. Output in August alone was 109,100 tonnes, against 4,600 tonnes a year earlier.

The figures show a country that until last year made almost no fuel of its own now running a sizeable refining and re-export trade. Exports of oil products reached 954,800 tonnes in the eight months, up from 81,800 tonnes a year earlier. In August, exports were 152,900 tonnes, compared with 13,600 tonnes in August 2025.

Imports did not fall as local output rose. Georgia brought in 1.366 million tonnes of oil products in January to August, slightly more than the 1.282 million tonnes of the same period last year. August imports were 180,400 tonnes, against 177,800 tonnes a year before.

Domestic supply edges up

Domestic supply of oil products, the volume left for the Georgian market, rose to 1.346 million tonnes in the eight months from 1.229 million tonnes a year earlier. The monthly picture was softer: supply in August was 172,800 tonnes, down from 189,000 tonnes in August 2025.

Because exports in January to August were larger than local production, the data suggest that part of the export volume is imported product moved on through Georgia, alongside fuel refined in the country. Geostat's series does not split exports between the two.

Where the new output comes from

The jump in production follows the start of refining at Kulevi on Georgia's Black Sea coast. The refinery's owner, Black Sea Petroleum, said it processed more than 650,000 tonnes in the first half of 2026, Georgian Public Broadcaster reported. Its first batch of crude, in October 2025, came from the Russian company Russneft. The company said that from August to September 2026 it would process only non-Russian crude, and that it plans to start making road bitumen in the first quarter of 2027 and aviation kerosene in the second quarter of 2027.

The neighbouring Kulevi oil terminal is owned by SOCAR and operated by Black Sea Terminal Company, according to the same report. CBJ has covered the European Union's scrutiny of the site in its report on the six-month sanctions grace period for the Kulevi refinery.

A new line in the export ledger

The change is already visible in Georgia's trade data. In its release on domestic exports for January to June 2026, published on 20 July, Geostat put domestic exports of petroleum and petroleum oils at USD 466.9 million, or 19.5% of all domestic exports. In the first half of 2025 the same line was worth USD 11.8 million, or 0.8% of the total, an increase of 3,858.7%. Total domestic exports in the first half rose 62.6% to USD 2,391.8 million. Geostat describes the figures as preliminary.

For more on how the export base has shifted this year, see CBJ's report on Georgia's first-half export growth.

What it means for business

For fuel traders and logistics companies, the numbers point to a Black Sea coast that now handles refined product as well as crude in transit. Higher volumes through Kulevi mean more cargo for storage, rail and tanker loading on the coast, and a larger export base for Georgia.

The risks are concentrated. A single refinery accounts for the new output, its crude sourcing has had to change within a year, and its exports depend on access to markets that are watching the origin of the oil closely. The planned move into bitumen and aviation kerosene in 2027 would widen the product range, but the figures for the rest of 2026 will show whether the eight-month pace holds after the switch to non-Russian crude.

Output in August, at 109,100 tonnes, was close to the monthly average of the year so far, a sign that production held up in the month the refinery was due to begin its switch of crude supply.