Azerbaijan begins fuel exports to Armenia by rail for first time in decades

Azerbaijan shipped petroleum products by rail to Armenia on Thursday, marking the first such export in decades and a tangible breakthrough in efforts to normalise relations between the two countries, officials said.

The Thursday delivery included 22 rail tank cars carrying 1,210 tonnes of AI-95 petrol produced by Azerbaijan's state oil company, SOCAR, which departed for Armenia via Georgia, Baku-based international outlet AnewZ reported.

Officials on both sides said the export represents a significant step beyond political statements and demonstrates the practical economic benefits of peace.

The fuel shipment follows an agreement reached on 28 November in Gabala, in north-western Azerbaijan, where Azerbaijani Deputy Prime Minister Shahin Mustafayev met with his Armenian counterpart Mher Grigoryan.

The two sides discussed measures to build trust and restore economic links severed by decades of conflict and closed borders, enabling beneficial trade and contributing to energy security and economic stability, according to AnewZ.

Both governments highlighted the symbolic importance of reestablishing a rail connection, suspended for years due to hostilities, as a foundation for restoring broader regional connectivity.

Armenia currently imports more than 60% of its fuel from Russia — 230,000 tonnes of petrol and 175,000 tonnes of diesel in 2024, while the rest comes from Iran, Romania, Malta and Turkey.

By reopening trade routes and establishing reliable commercial ties, the agreement could pave the way for expanded trade across the South Caucasus, linking Armenia, Azerbaijan and neighbouring states through revived transport and energy corridors, analysts say.

AI-95 is a premium unleaded petrol, also known as super or regular depending on the market.