Yildiz’s statements upon signing an agreement with Shell for oil exploration
Turkish daily Hurriyet Daily News (23.11.11, online) reported that Turkey has signed a deal with Royal Dutch Shell for energy exploration and production sharing in the Mediterranean and south-eastern Anatolia.
Energy and Natural Resources Minister Taner Yildiz rejected suggestions that the deal was a response in retaliation to Greek Cypriot and Israeli oil exploration off the coast of Cyprus. “The deal is a result of technical work and has nothing to do with international speculation,” Yildiz said at a ceremony yesterday.
The agreement, which covers seismic research off the Mediterranean province of Antalya as well as onshore drilling work near the south-eastern province of Diyarbakir, was signed between the state-run Turkish Petroleum Corporation (TPAO) and Shell. Seismic research will be conducted off Antalya until 2014, after which exploratory drilling will begin. Shell and TPAO will share output equally if oil or gas is found, TPAO general manager Mehmet Uysal said.
Shell’s Exploration and Production Chairman Malcolm Brinded said after identifying soil formation in Turkey’s southeastern Anatolian region they would initially open five wells and could expand to more than 10 wells in the future.
Also Turkish daily Today’s Zaman (23.11.11, online) reported that Yildiz stressed that the cooperation with Shell is far from being a product of political concerns and is instead the result of a technical study and efforts to rely on domestic resources rather than imported ones. According to Shell, the company will be responsible for transferring a drilling rig to the region and covering all production expenses associated with potential discoveries in the 2,500-meter-deep seabed, the drilling of which will cost about $300 million.
Turkey’s Energy minister noted that although the country is working to develop renewable energy, which should reduce energy consumption to 75 percent by 2030, it is crucial to focus on securing oil and natural gas as they are expected to remain the primary sources of energy until 2050. Yildiz said: “As Turkey grows economically, the energy needs of the country are also growing. In order to cope with that, we are focusing on diversifying our sources of energy as well as investing in nuclear energy.”
Yildiz talked at the meeting about Turkey’s future plans to search for oil and natural gas. He said TPAO, which is operating the Surmene-1 Well in off the Trabzon shore, has already worked on oil exploration in 28 wells and is becoming more experienced in the energy sector. He stated, “Even though the drilling is very costly, we are continuing because of the positive results we are getting.”
The minister also answered questions that have been circulating recently regarding the drilling in the Mediterranean by Israel and the Republic of Cyprus and claimed that both countries are acting against the law by drilling in off the Cyprus shore as international recognition of the two sides of the island has not been clarified. Yildiz underlined that any resources discovered should be shared equally between the Turkish and Greek sides of the island and that Israel should stop ignoring the killing of nine Turks in the Mavi Marmara incident. He commented, “We hope the Israeli government will act responsibly and exhibit the expected behaviours because these issues will remain serious barriers to any cooperation in the energy sector.”
