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 volume 13, issue #16 - Thursday, September 04, 2008

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Russia becomes Turkey’s top oil supplier

30-07-08 Turkey, which already depends on Russia to supply a large portion of its oil, has also become reliant on the country for natural gas.
In 2007, out of a total of 23.4 mm tons of crude oil imports, 9.3 mm tons was provided by Russia, rendering this country Turkey's biggest oil supplier. According to data from the Energy and National Resources Ministry (this is how we use it in Turkish… although its exact name is the ministry of energy and natural resources, we abridge it to just energy ministry… besides I didn't understand the question) and the Turkish Petroleum Refineries Corporation (Tupras), Iran is the second biggest oil supplier for Turkey, providing 8.9 mm tons last year, followed by Saudi Arabia with 3.3 mm tons. As Turkey's only refinery, Tupras, owned by Koc Holding, carries out Turkey's crude oil imports.

Turkey meets the majority of its oil and natural gas demand through foreign markets. However, more attention is being paid to domestic production in an effort to lessen dependency on foreign oil and gas, with the Turkish Petroleum Corporation (TPAO) supplying 9 % of demand. For natural gas production, this percentage is even smaller.
A number of experts have noted the need for diversification of energy source countries based on strategic grounds. To achieve this, oil import and trade was liberalized in January 2005, and licensed companies were allowed under the new arrangement to import from any supplier.

Iran had previously topped the list of countries supplying Turkey's crude, followed by Russia, Libya and Saudi Arabia. Tupras, which reduced the amount of oil purchased from Libya in the last two years, sought to fill the gap in supply this created by importing more from Russia.
A similar scenario has been observed in imports of natural gas. The growing need for natural gas is being met by Russia after Iran proved unreliable by restricting gas flow more than once during past winters.

The state-owned Turkish Pipeline Corporation (BOTAS) makes natural gas purchases mainly from Russia. Last year, 36.4 bn cm of natural gas was imported to meet domestic demand. Of this amount, 23.1 bn cm came from Russia and 6.1 bn from Iran.
The remaining 7.2 bn cm was procured from Azerbaijan, Algeria and Nigeria.

Source: www.todayszaman.com



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