Qatar's LNG exports to Turkey is more than a plan B as Turkey aims to diversify its energy suppliers following the souring relations with Russia, said Luay al-Khatteeb, a nonresident fellow from Brookings Doha Center, on Thursday.
Khatteeb told Anadolu Agency that given the political uncertainty with traditional gas suppliers such as Russia, regional warfare and conflicting objectives between coalition members on the war in Syria, Turkey has no option but to consider diversifying its gas imports and seek more reliable suppliers with common objectives.
"Qatar gas will help Turkey to achieve energy security and serve its growing consumption for economic growth," he added.
Robin Mills, an expert from Dubai-based Manaar Energy reminded that Turkey currently imports small amounts of LNG from Qatar, but most of its LNG comes from Algeria and Nigeria.
" If Qatar does build an LNG terminal in Turkey, it would not have to import only Qatari LNG there depending on the agreements concerning the terminal," Mills said.
Mills added that it's a good time for Turkey to buy LNG though, given the low prices and competitive market.
"It could also help reduce Turkey’s dependence on Russian gas, but Turkey has to avoid over-committing on gas purchases as it did in the early 2000s," he explained.
- New terminals empower Turkey's hand against Russia
Erdal Tanas Karagol, director of Economics at the Ankara-based Foundation for Political, Economic and Social Research (SETA) said that new LNG terminals would create important advantages for Turkey.
"We cannot say that Turkey's independence relies on only LNG but new LNG terminals will empower Turkey's hand against Russia six years later when the sides will discuss new contract terms," Karagol said.
Karagol expressed that the heated responses from Russia should serve as a window of opportunity for Turkey to pursue new energy projects.
Since the downing of a Russian warplane that violated Turkey’s airspace near the Syrian border on Nov. 24, Russia has announced a range of sanctions against Turkey.
Among the sanctions imposed by Moscow is the end of visa-free travel and a ban on Turkish food products. Russia has also called on its citizens to boycott Turkey as a tourist destination. The sanctions brought question marks about energy relation of Turkey and Russia as Ankara imports 55 percent of its gas need from Moscow.
Turkey's Petroleum Pipeline Corporation (BOTAS) and Qatar's national oil company signed a memorandum of understanding for long term liquified natural gas (LNG) trade on Wednesday.
According to Turkey's Energy and Natural Resources Ministry, both parties signed the memorandum in order to provide regular and long term LNG trade to Turkey.
Qatar led the world once again last year in LNG exports, according to 2015 World LNG Report published Tuesday by the International Gas Union.
For the ninth year in a row, Qatar became the largest LNG exporter in the world with 76.8 million tons of LNG in 2014.
Turkey's two LNG terminals - in Marmara Ereglisi located to the west of Istanbul, which is not running at full capacity, and in Aliaga located in Izmir, the western extremity of Anatolia which is fully operational.
Turkey imports 4 billion cubic meters of LNG from Algeria per year and 1.2 billion cubic meters of LNG from Nigeria via its LNG terminals.
By Murat Temizer
Anadolu Agency
murat.temizer@aa.com.tr
