Putin in Azerbaijan: Strengthening Strategic Energy Cooperation

Vladimir Putin visits Azerbaijan to consolidate energy partnerships, in a tense geopolitical context marked by the reorientation of European energy flows.

Share:

Comprehensive energy news coverage, updated nonstop

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access • Archives included • Professional invoice

OTHER ACCESS OPTIONS

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

FREE ACCOUNT

3 articles offered per month

FREE

*Prices are excluding VAT, which may vary depending on your location or professional status

Since 2021: 35,000 articles • 150+ analyses per week

Vladimir Putin’s visit to Azerbaijan is part of a strategy to strengthen bilateral relations, particularly in the energy field.
As the European Union continues to diversify its natural gas supplies to reduce its dependence on Russia, Azerbaijan is emerging as a key supplier, helping to stabilize the continent’s energy needs.
Already closely integrated into the Southern European gas corridor, Azerbaijan plays a crucial role in European energy supplies, notably through the Trans Adriatic Pipeline (TAP).
Cooperation with Baku enables Moscow to maintain an indirect influence on European markets, while avoiding complete isolation in this strategic sector.

A complex geopolitical context

The energy aspect of this visit cannot be dissociated from the complex geopolitical context in which it is taking place.
The Caucasus, a region of strategic importance, remains a traditional zone of influence for Russia.
However, the recent conflict between Armenia and Azerbaijan over Nagorno-Karabakh has altered the balance, particularly following Baku’s recapture of the region in 2023.
This victory consolidated Azerbaijan’s position on the regional and world stage, while at the same time creating tensions with Armenia, a long-standing ally of Moscow.
Russia’s approach to the conflict was perceived as ambivalent, provoking criticism from Armenia, which is now seeking to strengthen its ties with Western powers.
Yerevan’s reorientation towards the United States and Europe complicates Russia’s task of safeguarding its interests in a region where Turkish and Western influences are growing stronger.

Managing Economic and Diplomatic Interests

Russia needs to navigate carefully to preserve its economic interests in a context where Azerbaijan is asserting itself as a key player in the energy market.
Bilateral cooperation in this field is essential for both countries, enabling Russia to maintain a strategic presence in the Caucasus while diversifying its commercial partners in the energy sector.
Azerbaijan, for its part, seeks to make the most of its position as an alternative supplier to Europe, while maintaining pragmatic relations with Moscow.
Putin’s visit aims to ensure that this relationship remains mutually beneficial, against a backdrop of growing regional rivalries.
The importance of these discussions goes beyond bilateral and energy considerations.
They are part of a broader dynamic, in which Russia is seeking to reassert its role in Eurasia while coping with an ever-changing international environment.
The outcome of this visit could have a lasting influence on relations between Moscow and Baku, as well as on the balance of power in the region.

Global South Utilities is investing $1 billion in new solar, wind and storage projects to strengthen Yemen's energy capacity and expand its regional influence.
British International Investment and FirstRand partner to finance the decarbonisation of African companies through a facility focused on supporting high-emission sectors.
Budapest moves to secure Serbian oil supply, threatened by Croatia’s suspension of crude flows following US sanctions on the Russian-controlled NIS refinery.
Moscow says it wants to increase oil and liquefied natural gas exports to Beijing, while consolidating bilateral cooperation amid US sanctions targeting Russian producers.
The European Investment Bank is mobilising €2bn in financing backed by the European Commission for energy projects in Africa, with a strategic objective rooted in the European Union’s energy diplomacy.
Russia faces a structural decline in energy revenues as strengthened sanctions against Rosneft and Lukoil disrupt trade flows and deepen the federal budget deficit.
Washington imposes new sanctions targeting vessels, shipowners and intermediaries in Asia, increasing the regulatory risk of Iranian oil trade and redefining maritime compliance in the region.
OFAC’s licence for Paks II circumvents sanctions on Rosatom in exchange for US technological involvement, reshaping the balance of interests between Moscow, Budapest and Washington.
Finland, Estonia, Hungary and Czechia are multiplying bilateral initiatives in Africa to capture strategic energy and mining projects under the European Global Gateway programme.
The Brazilian president calls for a voluntary and non-binding energy transition during COP30 in Belém, avoiding direct confrontation with oil-producing countries.
The region attracted only a small share of global capital allocated to renewables in 2024, despite high energy needs and ambitious development goals, according to a report published in November.
The United States approves South Korea’s development of civilian uranium enrichment capabilities and supports a nuclear-powered submarine project, expanding a strategic partnership already linked to a major trade agreement.
The EU member states agree to prioritise a loan mechanism backed by immobilised Russian assets to finance aid to Ukraine, reducing national budgetary impact while ensuring enhanced funding capacity.
The Canadian government commits $56 billion to a new wave of infrastructure projects aimed at expanding energy corridors, accelerating critical mineral extraction and reinforcing strategic capacity.
Berlin strengthens its cooperation with Abuja through funding aimed at supporting Nigeria’s energy diversification and consolidating its renewable infrastructure.
COP30 begins in Belém under uncertainty, as countries fail to agree on key discussion topics, highlighting deep divisions over climate finance and the global energy transition.
The United States secures a tungsten joint venture in Kazakhstan and mining protocols in Uzbekistan, with financing envisaged from the Export-Import Bank of the United States and shipment routed via the Trans-Caspian corridor.
The United States grants Hungary a one-year waiver on sanctions targeting Russian oil, in return for a commitment to purchase US liquefied natural gas worth $600mn.
Meeting in Canada, G7 energy ministers unveiled a series of projects aimed at securing supply chains for critical minerals, in response to China’s restrictions on rare earth exports.
Donald Trump announces an immediate reduction in tariffs on Chinese fentanyl-related imports from 20% to 10%, potentially impacting energy flows between Washington and Beijing.

All the latest energy news, all the time

Annual subscription

8.25$/month*

*billed annually at 99$/year for the first year then 149,00$/year ​

Unlimited access - Archives included - Pro invoice

Monthly subscription

Unlimited access • Archives included

5.2$/month*
then 14.90$ per month thereafter

*Prices shown are exclusive of VAT, which may vary according to your location or professional status.

Since 2021: 30,000 articles - +150 analyses/week.