TOPLINE
Turkish President Tayyip Erdogan said on Friday that Turkey had discovered its largest ever deposit of natural gas in the Black Sea, a move that could help the country reduce its dependence on imports of energy from other countries, including Russia.
The discovery of natural gas comes amid heightened regional tensions.
KEY FACTS
President Erdogan announced on Friday that Turkey made a historic discovery, found a natural gas field with 320 billion cubic meters in the Black Sea.
“Turkey has realized the largest discovery of natural gas in its history in the Black Sea,” Erdogan told a news conference, adding that more could be discovered and the country is working to complete the extraction by 2023.
If the natural gas reserve can be extracted commercially, it can help the country to reduce its energy dependence on imports from countries such as Russia, Iran and Azerbaijan.
Industry analysts said the amount of natural gas was remarkable, but not a “game changer” that would materially change Turkey’s finances if it were to become a regional energy hub.
Erdogan said Friday that Turkey will speed up operations in the Mediterranean, despite ongoing territorial disputes with Greece and Cyprus, as it seeks oil and gas in combat waters.
Crucial quote
“We are determined to solve our energy problem,” Erdogan said. “We will not stop until we become a net exporter of energy.”
Key background
Turkey is one of the largest economies in the Middle East, and its recent discovery of natural gas comes amid rising tensions in the disputed waters of the eastern Mediterranean. The country has been embroiled in territorial conflicts with Greece and Cyprus. Both Germany and France have sounded the alarm over rising tensions: French warships have temporarily increased their presence, while German Chancellor Angela Merkel said earlier this week that the European Union is closely monitoring the region. Erdogan said on Friday that he also expects “good news” from energy exploration activities in the eastern Mediterranean.
Chief critic
“The question now is how much of this gas is recoverable,” Jonathan Lamb, a senior oil and gas analyst at Wood & Co., a Czech investment bank, told Bloomberg. “It simply came to our notice then. What the market really wants to know is how much they can produce per year, but I do not think they can say that yet. “
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