Türkiye, Exxon in talks for $1.1B LNG deal

Türkiye is in talks with US energy giant ExxonMobil for an over $1 billion deal to buy liquefied natural gas (LNG), Turkish Energy and Natural Resources Minister Alparslan Bayraktar has said.

Bayraktar, in an interview with the British daily Financial Times, stated that negotiations were underway with ExxonMobil for 2.5 million tonnes of LNG, valued at approximately $1.1 billion.

The Turkish minister added that the deal could last for 10 years if the negotiations with Exxon are completed, the ministry also said in a statement.

Noting that Ankara imports almost all of its natural gas needs, Bayraktar said that Türkiye aims to create a new supply portfolio without being dependent on a single supplier.

Pointing out that Türkiye is evaluating gas purchase options from different sources to ensure the country’s supply security, Bayraktar said: “For security of supply, we need to get gas from somewhere. It could be from Russia, it could be from Azerbaijan, it could be Iran, or LNG options.”

Ankara will turn to the most suitable options, he added.

Türkiye has seven international natural gas pipelines, five LNG facilities, including three floating storage and regasification units (FSRU), and two underground natural gas storage facilities. The country aims to become a key gas hub in the region, excel as an exporter and be an effective manager of the gas it provides.

Nuclear power projects in Türkiye

Noting that Ankara is in cooperation with Russia in the construction of Akkuyu Nuclear Power Plant, the country’s first nuclear power plant, Bayraktar pointed out that South Korea as well as Russia have a "serious interest" in a similar nuclear power project on the Black Sea.

Nuclear energy plays an important role in reaching Türkiye's 2053 net zero emission target, with the country planning nuclear power plants in two other locations after the Akkuyu, which is under construction in Türkiye’s Mediterranean province of Mersin.

Emphasising that Türkiye is extracting and processing natural gas in the Black Sea and oil in the country’s southeastern regions, Bayraktar said that by the end of this year, oil will be explored in the Black Sea in addition to natural gas.

The Turkish minister underlined that these projects “have the potential to change the rules of the game.”