Strategic Agreement Between BOTAŞ and Shell

Minister Bayraktar, who accompanied the signing ceremony at the Ministry of Energy and Natural Resources, announced that BOTAŞ will receive 40 LNG cargoes of approximately 4 billion cubic meters from Shell over a 10-year period starting in 2027. Noting that BOTAŞ also has options such as receiving from the filling port and discharging to European terminals, Minister Bayraktar said, “We are also pleased that BOTAŞ will acquire different and critical capabilities in the field of LNG transportation by ships.”

Ceremony at the Ministry

Minister Bayraktar received Shell CEO Wael Sawan at the ministry. In the press statement held after the meeting, Bayraktar and Sawan made evaluations regarding the agreement signed between BOTAŞ and Shell. Following the statements, a long-term LNG agreement was signed between the two companies. BOTAŞ General Manager Abdulvahit Fidan and Shell LNG Trading Senior Vice President Tom Summers signed the agreement.

Türkiye's Largest Company

Delivering a speech at the ceremony, Minister Bayraktar said that BOTAŞ is one of the largest companies in Türkiye and that 2002 was an important milestone for natural gas in Türkiye. Reminding that natural gas was used in 5 provinces at that time with the vision put forward by President Recep Tayyip Erdoğan, Bayraktar said, “Today, natural gas has reached 81 provinces, 862 settlements and 212 Organized Industrial Zones.”

Natural Gas to 3.2 Million Households

Emphasizing that a strong infrastructure is needed for this, Bayraktar said, “Today, we have a daily production of over 7 and a half million cubic meters. In other words, we produce the gas needs of 3.2 million households. On August 15, we broke a daily production record, reaching 7 million 609 thousand cubic meters. Production from Sakarya Gas Field alone reached an all-time high of 6 million 146 thousand cubic meters on August 15.”

Half a Century of Experience

Explaining that they are working with neighboring countries and international companies to create a balanced supply portfolio in natural gas, Bayraktar brought up the agreement signed between BOTAŞ and Shell. Reminding that BOTAŞ is a national company with half a century of experience, Bayraktar continued as follows: 

Delivery from Filling Port

Within the scope of the agreement signed between BOTAŞ and Shell, a total of 40 LNG cargoes of approximately 4 billion cubic meters will be delivered annually for a period covering 10 years starting from 2027. This agreement has a distinction and value beyond just a purchase and sale transaction between the two companies, as it offers additional regional and global trade opportunities with options such as receiving from the filling port and discharging to European terminals. We are also very pleased that BOTAŞ will acquire different and critical capabilities in the field of LNG transportation by ships within the scope of the agreement. Thus, BOTAŞ will further strengthen and expand its active role in regional natural gas trade.

Target: Natural Gas Hub

Bayraktar underlined that Türkiye is in a position to provide 70-80 billion cubic meters of natural gas supply with its infrastructure investments and that they export natural gas to Bulgaria, Hungary, Romania and Serbia in this context and said, “Türkiye is now a country that produces its own natural gas, diversifies its supply sources, can export with its strong infrastructure and is rapidly progressing towards becoming a natural gas center that contributes to the supply security of Europe and the region.”