Black Sea Petroleum (BSP), which owns the Kulevi Oil Refinery in Georgia, has announced the start of a plan to phase out the use of Russian crude, saying the plant has already begun processing Kazakh oil and is expecting its first shipment of Libyan crude later this month.

In a statement, the company said the refinery began processing crude of Kazakh origin in early July and would continue refining the remaining volume in August, News Georgia reports.

Under a crude supply agreement signed on 3 July 2026 with an international trading company, the first shipment of Libyan oil is expected to arrive in Kulevi between 20 and 30 August. The contract runs until the end of 2027 and includes an option for extension, BSP said.

The European Union's 21st package of sanctions against Russia introduced a mechanism allowing transactions with oil refineries in third countries to be prohibited if they process Russian crude. The Kulevi refinery falls under the scope of the measure, although the restriction on transactions has been postponed for six months.

During that period, the refinery must demonstrate that it has completely phased out the use of Russian crude. Following an assessment by the European Commission, the Council of the European Union will decide whether to maintain or lift the restrictions.

BSP said its transition to crude from non-Russian sources was proceeding in line with that timetable.

The company added that it would continue to cooperate with the European Commission and provide regular updates on the implementation of its supply diversification plan.