Türkiye seeks firm EU commitments for increased gas exports Amidst complex Russian dynamics

Türkiye is prepared to boost natural gas exports to the European Union but insists on long-term commitments to justify necessary infrastructure investments and prefers avoiding intricate swaps aimed at circumventing Russian gas.

Europe is actively seeking alternative gas supplies to replace Russian flows through Ukraine. Proposed solutions include redirecting Azerbaijan’s gas sales from Türkiye to Europe, compensated by additional Russian gas sales to Türkiye. Türkiye, however, favours expanding exports via Bulgaria.

"I need guarantees—whether it's 10 years or 15 years, something concrete," Energy Minister Alparslan Bayraktar emphasized in an interview with Bloomberg in Ankara, criticizing the convoluted nature of European gas swap proposals, Caliber.Az reports.

"These discussions proceed without clarity on capacity and market realities," he added, stressing the need to enhance Türkiye-Bulgaria interconnection capacity, currently capable of handling only half of Türkiye's potential 7 billion cubic meters per year.

Ankara is exploring collaboration with Azerbaijan's SOCAR to potentially increase capacity to 10 bcm but seeks assurances of European demand.

Bayraktar cited Türkiye’s LNG agreement with Bulgaria last year, importing up to 1.5 bcm and re-exporting westward, as a flexible alternative under scrutiny by Brussels for potential antitrust concerns and high costs for Bulgaria.

Türkiye aims to solidify its position as a regional gas hub, investing heavily in storage, LNG facilities, and Black Sea exploration. While predominantly reliant on imports, Türkiye secured small gas export contracts with Romania, Moldova, and Hungary last year.

Exploratory efforts include potential gas imports from Turkmenistan via Iran, with negotiations ongoing during Bayraktar's forthcoming visit.

A long-term LNG deal with Exxon Mobil Corp. is set to bolster incoming supply, with Bayraktar anticipating final contract announcements soon from undisclosed additional companies.

Despite efforts to diversify, Türkiye remains heavily dependent on Russian gas amid geopolitical tensions. Special pricing agreements negotiated independently of Gazprom's standard contracts underscore Türkiye’s strategy to navigate volatile market conditions and maintain crucial energy partnerships.