Petroleum and Natural Gas in the Southern Caucasus Domestic Supply, Export, Transit

Of the three South Caucasian states, only Azerbaijan can meet its petroleum and natural gas needs on its own. Georgia and Armenia are dependent on imports of these energy sources. Armenia leans on Russia in energy policy; Georgia has established itself as a transit country for the supply of oil and gas from the Caspian region to Europe. Azerbaijan is preparing to export gas to Europe. Whether gas from Turkmenistan in future will also move to the European Union via Azerbaijan and Georgia is uncertain. The EU's attempts to establish a "southern gas corridor" subject to its rules of competition have so far met with little success, because it fails to recognise the interests of the region's gas -producing countries.