Railgo Expands Operations into Azerbaijan

Railgo, a major Russian oil cargo carrier by rail, has established a company in Azerbaijan with an authorized capital of 2 million manats, according to a report from the State Tax Service.

Railgo LLC, registered in the first quarter of this year, will operate under the leadership of Novruzov Jeyhun Elchin oglu, with its headquarters located at 37 Nagorny, Sabail district, Baku.

Founded on December 25, 1997, Railgo is owned by Iskander Khalilov and his son Rahman Khalilov. The company operates under contracts with Rosneft and Lukoil structures and boasts a rolling stock totaling 20,000 units.

Operating on 10 of the 17 railways in Russia, Railgo facilitates cargo delivery across the Russian Federation and abroad.

This expansion is seen as a strategic move by both Russia and Azerbaijan to bolster economic and transport cooperation. Azerbaijan, a key partner of Russia in the region, is strategically positioned between the Black and Caspian Seas, making it an essential link on the transit route between Europe and Asia.

The establishment of Railgo LLC in Azerbaijan coincides with the growing freight traffic through the Caucasus region between Europe and Asia, particularly as international shippers seek alternative routes to avoid Russia following its invasion of Ukraine. As a result, there has been a significant increase in transit demand in Georgia and Azerbaijan.

Azerbaijan, actively promoting the North-South railway corridor, aims to attract cargo from the Persian Gulf to Central and Northern Europe, further solidifying its role as a vital transit hub.

Railgo LLC in Azerbaijan will offer a range of services including freight transportation for bulk cargoes, rail and ferry services across the Caspian and Black Seas, and movement of individual wagons and block trains tailored to specific customer needs.

The company's comprehensive rail services aim to provide seamless logistics solutions connecting Europe and Asia, with innovative and flexible options for special transportation requirements. Railgo will also provide armed and unarmed escort services for sensitive goods transportation in the CIS region, cargo handling services at terminals and ports, and rolling stock for loading and rail transportation in Azerbaijan and CIS countries.

Moreover, Railgo will introduce a new service including steam tank cleaning at its facility in Bilajar, near Baku.

With these initiatives, Railgo LLC aims to establish itself as a key player in Azerbaijan's logistics market, leveraging its expertise in rail transportation to enhance the country's position as a vital transport hub between Europe and Asia.