Turkey's Botas, Shell finalize major LNG deal

(MENAFN) Turkey’s state-owned energy company Botas and global oil giant Shell are set to finalize a significant long-term liquefied natural gas (LNG) agreement, according to the Turkish Energy Ministry. Turkish Energy Minister Alparslan Bayraktar will meet Shell’s CEO Wael Sawan in Ankara on Monday to sign the deal and provide further details about the agreement. The specifics of the deal have not yet been disclosed by the ministry.

This development follows Botas’s recent signing of a 10-year LNG contract with ExxonMobil in May, which will see Turkey purchase up to 2.5 million tons of natural gas annually from the U.S. company. Turkey, which relies heavily on imported gas to meet its energy demands, brought in 14.3 billion cubic meters of LNG last year, accounting for 28.3 percent of its total gas consumption. With a capacity to gasify about 0.16 billion cubic meters of LNG per day, Turkey can potentially meet a substantial portion of its energy needs through LNG rather than pipeline gas.

Additionally, it was announced in April that Oman LNG will supply Botas with approximately one million tons of LNG annually starting in 2025, under a ten-year sale and purchase agreement. This agreement further reflects Turkey's strategy to diversify its LNG sources and secure long-term energy supplies.

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