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Türkiye Petrolleri Anonim Ortakligi (TPAO)

Turkey

 

 

 

Date: November 2008 - Unclear

Deal: According to Iran Daily, a preliminary deal was signed for Turkey to invest $12 billion in Iran's South Pars gas field (Iran Daily, November 18, 2008). The deal, according to a Turkish newspaper, includes a development investment in phases 22, 23 and 24 of South Pars (Hurriyet, November 18, 2008). As of September 2009, the deal was not finalized and discussions were held in Tehran between Turkish and Iranian ministers. However according to Hurriyet, "Turkey is planning to make a $3.5 billion investment in Iran for the exploration and production of natural gas" (Hurriyet, September 10, 2009).

In October 2009, the Tehran Times reported that Iran had given TPAO “a one-month deadline to finalize the deal but extended the deadline by three months” (Tehran Times, April 19, 2010). In April 2010, it appeared that TPAO was reluctant to move finalize its deal with Iran and the Iranian press reported that an Iranian consortium was planned to replace TPAO. 

Days later, the Tehran Times reported that Ahmet Davutoglu, Turkey’s foreign minister, rejected the news that Turkey and Iran would no longer be cooperating in the three phases of South Pars.  According to him, “The two countries had expanded their cooperation in the field of energy including projects in South Pars” (Tehran Times, April 21, 2010).

According to United Press International, Turkish Energy Minister Taner Yildiz stated in February 2014 that despite the deal signed with Iran to develop South Pars, TPAO was “staying on the sidelines.” He stated that there has yet to be a decision on whether TPAO will invest in Iran and no such decision will be made until Iran presents a new proposal with new conditions. At this time, there were also ongoing discussions between Turkey and Iran regarding sending more Iranian natural gas through Turkey (United Press International, February 13, 2014).

U.S. Business Ties: According to TPAO's website, the company works with several American companies on numerous projects including: Exxon Mobil and Hess on a project in Azerbaijan and Chevron, Conoco Phillips and Hess on the Baku-Tbilisi-Ceyhan Main Export Crude Oil Pipeline Project in Azerbaijan. (TPAO Website, accessed August 20, 2014).

Last Updated: August 20, 2014