Turkey's TPAO Signs $1.5B Deal To Buy Total's Stake In Azeri Gas Project
ISTANBUL, May 30 (Reuters) - Turkey's state oil company TPAO signed a $1.5 billion deal on Friday to acquire French energy company Total's 10 percent stake in Azerbaijan's Shah Deniz gas project, at a signing ceremony in Istanbul.
The agreement increases TPAO's stake in the project to 19 percent from a previous 9 percent, while Total exits the project. Sources had told Reuters about the sale in February.
The deal is worth $1.5 billion, Total said in a statement, and on completion will bring to $16 billion the assets sold by Total since 2012, in line with its asset-sale target of $15-20 billion by end-2014.
Turkish pipeline firm Botas also signed an agreement at the ceremony with Azeri state oil company SOCAR to raise its stake in the Trans-Anatolian natural gas pipeline project (TANAP) to 30 percent from 20 percent.
Azerbaijan's biggest gas field, Shah Deniz is being developed by consortium partners BP, Statoil, SOCAR and others.
Shah Deniz I has been pumping gas since 2006 and has an annual production capacity of about 10 billion cubic metres (bcm) of natural gas.
The next phase, Shah Deniz II, is important for Europe as an alternative to gas from Russia's Gazprom. It is expected to produce 16 bcm of gas per year from around 2019, with 10 bcm earmarked for Europe and 6 bcm for Turkey.
View Full Article
WHAT DO YOU THINK?
Generated by readers, the comments included herein do not reflect the views and opinions of Rigzone. All comments are subject to editorial review. Off-topic, inappropriate or insulting comments will be removed.
- $200B+ Could Be Invested in US Petchems (Mar 28)
- Total Tested by Drilling Oil in One of Fastest Ocean Currents (Mar 26)
- Maduro Gets Oil Lifeline From Russia (Mar 05)
Company: TPAO more info
- KOGAS Says Starts Commercial Crude Oil Production in Iraq's Badra (Sep 01)
- Turkey's TPAO Signs $1.5B Deal To Buy Total's Stake In Azeri Gas Project (May 30)
- Turkey's TPAO Says In Talks With Exxon, OMV, MOL For Joint Oil Exploration (Feb 19)