Latest news with #TurkishPetroleumCorporation
Zawya
05-05-2025
- Business
- Zawya
Somalia President defends ‘lopsided' oil deal with Türkiye
Somalia's President Hassan Sheikh Mohamud has defended Mogadishu's deal with Türkiye on oil and gas exploration, which has caused outrage in the country after it was leaked to the public for allegedly signing off 90 percent of the revenues to Ankara. The agreement signed last year, which was circulated widely last month allows Mogadishu to cede its petroleum operations to the government of Türkiye, signalling Ankara's growing dominance on the Somalian economy, including running its main port and airport in Mogadishu and military bases. Details of the agreement show that Türkiye will receive up to 90 percent of the revenue from oil and gas extracted from Somalia's territorial waters. Read: Turkey to send navy to Somalia after agreeing oil and gas searchSomalia on its part, will own and be entitled to a royalty, in cash or in kind of up to five percent of production of all petroleum produced and saved from the contract area.'The Federal Republic of Somalia hereby grants to the Turkish Designated Entity the sole and exclusive right to conduct Petroleum Operations within and with respect to the Contract Area,' the agreement states.'In order to exercise such right, the Federal Government (Somalia) shall provide the pertinent technical data, which is already available or may become available from time to time, at no cost to the Turkish designated entity and shall conclude a production sharing agreement with the Turkish designated entity for each contract area that the Turkish designated entity deems appropriate.'Under the deal the contractor shall be entitled to recover the petroleum costs incurred by taking and separately disposing of an amount equal in value to a maximum of 90 percent of crude oil and 90 percent of natural gas produced during that fiscal year and not used in petroleum operations after the payment of all royalties due to the government. The deal was signed in Istanbul by ex-Somali Petroleum Minister Abdirizak Omar Mohamed and his Turkish Energy Minister Alparslan Bayraktar on March 7, 2024. Turkish Petroleum Corporation (TPAO) has been contracted to conduct exploration and production operations. In the circuited video-taped address, President Mohamud termed the deal a mutually beneficial agreement that represents shared interests.'This is the first time in history that Somalia's oil and gas reserves are being properly explored. You can't discount the first-mover advantage. With Turkey's support, Somalia aims to be a country different from how the world perceives it,' the Somali leader said. Somalia's state minister of Foreign Affairs, Ali Omar, termed this the start of bigger business, as the deal covers only three blocks that form a small section of Somalia's offshore potential, believed to span 216 blocks. The Istanbul deal sparked uproar in Somalia after the Nordic Monitor, a Sweden-based investigative outlet known for publishing leaked documents on Turkish foreign policy and intelligence, released a report in late April. Abdisaid Muse Ali, a former Somalia national security adviser and chief of staff, criticised the hydrocarbon deal, saying it 'violates Somalia's own Petroleum Law. No competitive bidding. No independent regulator involved. No consultation with federal states. No public debate. This is not just bad policy --it's illegal.'But Anisa Abdulkadir, a Mogadishu-based economist, said that Somalia cannot afford the huge initial cost of surveying, exploring and exploiting hydrocarbon resources especially in offshore waters, so there is no harm in contracting that.'It is normal practice for countries like Somalia that lack the capital and technical capacity to engage a contractor like TPAO,' Abdulkadir told The EastAfrican.'Once the industry is developed, the country may establish its own entity, resources and capacity to skip cost-recovery model,' she added, agreeing with Somalia's current investment option. © Copyright 2022 Nation Media Group. All Rights Reserved. Provided by SyndiGate Media Inc. (
The Star
02-05-2025
- Business
- The Star
Türkiye sets oil production record, eyes growth in natural gas sector: president
ISTANBUL, May 2 (Xinhua) -- Turkish President Recep Tayyip Erdogan said on Friday that the country's oil production surpassed 135,000 barrels per day (bpd) by the end of March, and that more efforts are being made to build Türkiye into a global leader in natural gas exploration. Speaking at the Istanbul Natural Resources Summit, Erdogan pointed out that this year's oil production has reached a record high, noting that Türkiye's oil production in 2024 was approximately 126,000 bpd. Erdogan attributed the rise in oil production primarily to the substantial output from the Gabar region of southern Sirnak province. Oil was discovered in Gabar in 2021 following drilling operations by the Turkish Petroleum Corporation. To date, over 26 million barrels of oil have been produced in the region, with a total value approaching 2 billion U.S. dollars, Erdogan revealed. He added that the country also targets growth in the natural gas sector, vowing to transform Türkiye into a global player in natural gas exploration. The president said that Türkiye's first natural gas floating production platform will begin operations next year in the Sakarya gas field. "In the Sakarya gas field, we aim for a daily production of approximately 20 million cubic meters from Phase 1 and Phase 2 by 2026," he stated, setting a goal of 40 million cubic meters per day by 2028. Discovered in 2020, the Sakarya gas field, located in the Black Sea off the coast of the northern Zonguldak province, is one of Türkiye's most significant natural gas discoveries in recent years.
Zawya
02-05-2025
- Business
- Zawya
Turkey Strengthens Global Energy Influence with Strategic African Partnerships
Turkey is making bold strides in expanding its energy footprint, with a series of strategic moves aimed at securing long-term energy resources and boosting its global influence. The Turkish Petroleum Corporation (TPAO), the country's state-owned energy giant, is set to launch oil and gas exploration projects in Libya, aligning with Turkey's broader strategy to diversify its energy supplies and tap into Africa's vast resources. Turkey, which currently imports over 90% of its energy, is actively working to reduce its energy import bill by tapping into new domestic and international resources – making markets like Libya a key part of its long-term energy security agenda. Turkey's energy diplomacy is also gaining momentum in other parts of Africa, with recent agreements signed in Somalia and Senegal. As Africa continues to build stronger energy ties with G20 nations, Turkey is positioning itself as a reliable partner and growing pillar of energy security. The upcoming African Energy Week (AEW) 2025: Invest in African Energies, set to take place in Cape Town later this year, offers a key platform for Turkey to expand its engagement with African energy markets and foster collaboration on exploration, infrastructure and investment. Turkey and Somalia Deepen Energy Cooperation Earlier this month, Turkey and Somalia signed a new hydrocarbon exploration and production agreement covering 16,000 km² of onshore territory. Under the deal, TPAO will conduct 2D and 3D seismic studies across three blocks, followed by drilling activities based on the findings. Turkey's Minister of Energy and Natural Resources, Alparslan Bayraktar, has described the agreement as a strategic milestone in bilateral cooperation, building on a previous offshore production-sharing agreement signed last year. In addition, seismic activities in Somalia's maritime zones are underway, with Turkey's Oruç Reis vessel having completed 78% of a 3D seismic survey over 15,000 km². The survey is expected to conclude by May 2025, after which drilling decisions will follow. Turkey is also eyeing cooperation in the mining sector, and further collaboration will be discussed at a Natural Resources Summit in Istanbul next month. Energy Diplomacy Extends to West Africa Last October, Turkey signed a Memorandum of Understanding with Senegal to cooperate on oil and gas exploration, production and trade. The agreement, signed during a meeting between Turkish President Recep Tayyip Erdoğan and Senegalese President Bassirou Diomaye Faye, includes Turkish participation in both onshore and offshore seismic surveys and extends to renewable energy, critical minerals and rare earths. This deal follows similar agreements with Somalia and Niger, as Ankara strengthens its energy ties across the continent. Ankara's Growing Influence Across Africa Through these initiatives, Turkey is positioning itself as a leading partner to Africa, distinguishing itself from traditional Western powers by prioritizing co-development and mutual benefit. Under President Erdoğan, Turkey has quadrupled its diplomatic presence on the continent, expanded defense cooperation with countries including Somalia, Libya, Nigeria and Ethiopia, and boosted trade through major infrastructure investments. In 2023 alone, Turkish contractors completed $85.5 billion worth of projects across Africa. Turkish Airlines now serves 62 destinations on the continent, including Mogadishu, where Turkey has played a pivotal role in rebuilding the capital's airport. AEW 2025: Invest in African Energies, taking place from September 29 to October 3 in Cape Town, will serve as a valuable platform for Turkey to strengthen its energy partnerships across the continent. The event convenes African producers, global investors and policymakers to drive new deals and shape Africa's energy future. As Turkey expands its engagement with African energy markets, AEW 2025 is expected to be a pivotal venue for forging partnerships, launching projects and advancing long-term collaboration. Distributed by APO Group on behalf of African Energy Chamber.
Zawya
16-04-2025
- Business
- Zawya
Türkiye's influence in Africa rises
Somalia and Türkiye last week signed a new agreement for onshore oil and gas exploration, which Turkish Energy and Natural Resources Minister Alparslan Bayraktar said, 'marks a new step that will strengthen our strategic cooperation with Somalia.''We will begin with seismic studies and move rapidly to detection and production,' Bayraktar said in Ankara. The deal grants the state-owned Turkish Petroleum Corporation rights to conduct seismic surveys and drilling operations across three blocks covering about 16,000 square kilometres in Somalia. Oil exploitation was not initially Türkiye's declared intention when it first arrived in Mogadishu 14 years ago as the effects of drought bit the residents hard. Since then, Ankara has built the largest diplomatic mission in Africa on Somali soil, set up a military base and now runs the main airport and the seaport in Mogadishu. Read: Somali delegation in Ethiopia to cement Ankara dealThere are Turkish prints on the Somali education, where hundreds of scholarships are dished out to Somalis to study in Turkish learning institutions, and the main security brigades in the federal government have also been trained by Turkish institutions. On oil, officials have said it proves that true partnerships don't always start with business, but with humanity. Somali Petroleum and Mineral Resources minister Dahir Shire Mohamed labelled the accord a 'historic day' for Somalia's bilateral energy cooperation.'This agreement opens a new chapter for Somalia's natural wealth,' Mohamed said, further indicating that effective exploration could strengthen ties with Türkiye, labelling as a key ally. Further details about the locations of the inland blocks were not disclosed. But the announcement came on the same week Türkiye hosted its annual Antalya Diplomatic Forum, bringing together world leaders to discuss 'Reclaiming diplomacy in a fragmented world.'Since 2002, Türkiye has increased its diplomatic presence in Africa, raising its embassies from 12 to 44 in 2022. In 2008, it became an observer state of the African Union, using that to elevate its business and political ties with the continent. It now runs a forum called the Africa Partnership Policy with Africa. At the Antalya Forum, various African leaders attended, including Sudan's military leader Abdel Fattah al-Burhan, who met with Turkish Recep Erdoğan. Previously, Türkiye had tried to mediate in the conflict in Sudan between the Sudanese Armed Forces and the Rapid Support Forces, in vain. "When we talk about peacebuilding, we must acknowledge the importance of local ownership and coordination,' said Omar Alieu Touray, president of the Commission of the Economic Community of West African States.'Peace is not just about intervention; it's about collaboration with the region itself,' he said at the Antalya. Musalia Mudavadi, Kenya's Prime Cabinet Secretary and Cabinet Secretary for Foreign Affairs, argued Türkiye's role should complement stronger African institutions, not replace them.'Africans want to engage meaningfully amongst themselves and also with the rest of the world.'We must be very careful that we do not create a new scramble for Africa, that can generate more problems like in the past. It is essential that the institutions created by the African nations are respected,' said Mudavadi on a panel discussion about the Horn of Africa and the risks and opportunities in the region.'Resources are scarce and in particular resources channelled to conflict interventions are so limited even from the international community. Africa should therefore mainstream its efforts through recognised institutions that have structures for us to have a more coordinated approach to conflict resolution.'Some African leaders though agreed with reality: That warring parties tend to agree to mediations offered by parties abroad because they have a bigger leverage, or that African institutions that would have done so are too weak or carry little influence.'As African people, we need to establish strong systems of good governance. The world is watching Africa from the outside, observing what's happening,' said Olushegun Adjadi Bakari, Béninois Foreign Minister.'If we fail to present a positive image, it becomes extremely difficult for our voices to be heard on the global stage,' he added on discussions about diplomacy in geopolitics. In the Horn, Türkiye has, meanwhile, placed its mark on nearly every country. Ankara had deployed its Oruç Reis, a seismic vessel that has been conducting 3D surveys in Somali waters since October 2024. It has engaged security support for Kenya and Ethiopia, including sale of drones and has reportedly backed Sudan's military government to re-establish authority in Khartoum. © Copyright 2022 Nation Media Group. All Rights Reserved. Provided by SyndiGate Media Inc. (
