Energy firms eyeing consortium to carry Israeli gas through Turkey

Baku. 7 April. REPORT.AZ/ At least 15 energy companies want to be part of a planned consortium which will carry Israeli gas to Europe via Turkey, according to Turcas CEO Batu Aksoy, who said the first Israeli gas may reach Turkey in the next five years, Report informs referring to the Hurriyet Daily News. 

“We plan to establish a buyer consortium [to carry Israeli gas to Europe through Turkey]. Each consortium member will take some gas in this plan. At least 15 companies have contacted us so far and voiced their intention to become a part of this planned consortium,” he said in an exclusive interview with daily Hürriyet. 

The holders of rights in Israeli’s natural gas reservoir have been in contact with Turkish companies for months, including Turcas, concerning exports of Israeli gas. 

Aksoy noted it was not possible for a single company to deal with such big exports, adding that the estimated 8 billion cubic meters (bcm) of Israeli gas could be taken on an annual basis by sharing the risks with reliable partners. 

“Potential consortium partners that have contacted us are composed of companies which utilize or distribute gas. Namely, they are active players in the sector. A constructive buyer consortium needs to be established,” he said. 

Aksoy said Israeli gas may flow through Turkey in the next five years. 

“In these projects, the construction process lasts the shortest period of time. Political discussions, the issuance of intergovernmental agreements or the financial feasibility issues take a much longer time.

Regarding Israeli gas, some bilateral agreements may be required between Turkey and Israel, between Israel and Cyprus, and between Cyprus and Turkey. In resolving long-term regional problems, the planned pipeline may play a role. If the parties want and the required political environment is created, the gas may reach Turkey by 2021,” he added.