Turkey finds significant amount of natural gas in Black Sea: report

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Turkey has found significant gas resources in the Black Sea, two Turkish sources told Reuters, a discovery that could help the country cut its dependence on energy imports if the gas can be commercially extracted.

President Recep Tayyip Erdoğan told energy executives on Wednesday he would announce “good news” on Friday that will herald a “new period” for Turkey — comments that drove up shares in Turkish energy firms and lifted the lira from this week’s record low.

He gave no details, but the sources said he was referring to a gas discovery in the Black Sea, and one source said the scale of the reserves could potentially meet Turkey’s energy needs for 20 years.

Turkey’s drilling ship Fatih has been operating since late July in an exploration zone known as Tuna-1, about 100 nautical miles north of the Turkish coast in the western Black Sea.

“There is a natural gas finding in the Tuna 1 well,” the source said. “The expected reserve is 26 trillion cubic feet, or 800 billion cubic meters, and it meets approximately 20 years of Turkey’s needs.”

However, he cautioned that it could take seven to 10 years to start production and estimated investment costs at between $2 billion and $3 billion.

Officials, including Energy Minister Fatih Dönmez, have given no details of Friday’s announcement, saying Erdoğan will spell out the “surprise” himself.

Turkey’s presidency and energy ministry were not immediately available to comment on the scale of the find.

Turkey, which is almost completely reliant on imports to meet its energy needs, has been exploring for hydrocarbons in the Black Sea and in the Mediterranean, where its survey operations in disputed waters have drawn protests from Greece and Cyprus.

If the scale of the Black Sea reserves are confirmed, they would constitute a major find, given that fields containing 1-2 trillion cubic feet are often developed. However, analysts say Turkey could face extra infrastructure costs in breaking into the market.

Any reduction in Turkey’s energy import bill, which stood at $41 billion last year from suppliers such as Russia and Iran, would not only boost government finances but also help ease a chronic current account deficit that puts pressure on the lira.

Even though such a prospect is still distant and uncertain, the lira strengthened on Wednesday after Erdoğan’s cryptic comments as traders anticipated a positive impact.

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2 COMMENTS

  1. Criminals, all over the world act equal: first they tray force to gather obedience, if this has no success they use violence and aggression and claim it is their legal right. Then if they made sufficient mistakes they are trapped and blame others, in the finale stage the call for help from the “God”father, they tray to make friends, and promises everybody things that they can not make happen or treasures that are un-referable and mystical. Erdogan is in this stage, he is the king without clothes, the sect leader is claiming divine views and power and the mistakes are pilling up the more he Brag’s the less power he has.

  2. As I said: a storm in a tea cup. A lot of times a find of one trillion cubic feed ( 1/5 more as this find) is not economical sufficient to develop. And even this volume is not confirmed, the cost and time span are in dubious as most of the promises: wealth, Turkish fighter jet, Turkish car, the biggest productive airport, a concurentia
    New tank, a canal between marmar sea and black sea, the coming of him as the mahdi , peace and prosperity it will be an other dressed up fart.

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