Page 13 - MEOG Week 48 2022

MEOG NEWS IN BRIEF MEOG

on Dec. 2. which pumps the second most crude in Turkey discovered natural gas off its
The G7’s price cap will apply to Russian OPEC, would seek a higher quota, as it chases northern coast in 2020 and has since
crude based on FOB prices, which do not more revenues. estimated volumes at 540 billion cubic
include the cost of insurance and shipping. S&P GLOBAL metres (bcm). Turkey built an ‘energy base’
With the $60/b price cap above current in Sakarya, and it will become a benchmark
Urals prices, some market watchers expect marketplace for natural gas with the inclusion
Russian exports will continue to flow broadly GAS of domestic supplies, according to Erdogan.
as before, having little impact on Moscow’s ‘We’re preparing to build an advanced natural
oil revenues but achieving the aim of G7 Turkish activity in the Black gas marketplace where multiple products,
policymakers who want to keep the global multiple contracts come together to form
market well-supplied. Sea reference prices.’
Kremlin spokesperson Dmitry Peskov said In recent weeks, Russian President
Dec. 3 that Russia will not accept the price cap Turkey’s state oil company is proceeding with Vladimir Putin has repeated that a natural gas
and is analyzing the situation before taking drilling on an exploration well in the Black hub could be set up in Turkey fairly quickly,
any decisions, according to a report by the Sea as it hunts for more gas to add to the forecasting that many European customers
Tass news agency. major resources held in its Sakarya project. would emerge in such a marketplace.
Russian Deputy Prime Minister Alexander This drilling operation began at about With the Turkish gas hub proposal, Russia
Novak, who handles the country’s OPEC+ the same time that the company completed has returned to a long-standing idea to add
affairs, has said he does not expect an impact a wildcat well in the Mediterranean Sea. The two lines to the existing TurkStream pipeline
on December export volumes as they were new wildcat is located in Block 25 just a few to double its annual capacity to 63 bcm. This
contracted in October and November. January kilometres from the maritime boundary with would correspond exactly to the combined
volumes are being contracted now. Bulgaria. volumes Russia sold via various routes to
A nine-country ministerial monitoring Turkish Petroleum has three drillships Austria, Bulgaria, Hungary, Italy, Serbia,
committee co-chaired by Saudi Arabia and deployed in the Black Sea which are used Slovenia and Turkey in 2020, according to
Russia will meet at noon Vienna time (1100 mainly for development drilling at Sarkaya, Gazprom data.
GMT) ahead of the full OPEC+ meeting on a deepwater field that will be exploited as a Russia supplies pipeline gas to Europe
Dec. 4. long-distance subsea tieback to an onshore gas mainly via Ukraine at a rate of over 40
Abdul-Ghani, who met with Prince processing plant at Filyos. million cubic metres per day, less than half
Abdulaziz in Riyadh on Nov. 24 to discuss Turkey’s Black Sea gas field is on track to go the amount it used to sell to the European
the OPEC+ agreement and other matters, online next year as previously promised and Union. It also delivers gas to southern end
said in his statement that the alliance would work has sped up to connect it to the national eastern Europe, including Hungary, via the
conduct ‘a review of developments in the infrastructure, President Tayyip Erdogan said TurkStream.
oil market and challenges facing producers, on Saturday. President Putin’s plan to make Turkey a
and an emphasis on the decisions of OPEC+ With regard to a natural gas pipeline hub for Russian gas could in theory allow
regarding reducing production to the opening in the northern Kastamonu province, Moscow to mask its exports with fuel with
prescribed quantities, to achieve more stability Erdogan said drilling at nine of the ten wells other sources, but that might not be enough
and balance for the market.’ in the first phase of the seabed Sakarya gas to persuade Europeans to buy gas through the
Iraqi Prime Minister Muhammad al- field was complete. ‘Hopefully we’ll start using potential hub analysts and sources have said.
Sudani had said Nov. 15 that his country, this gas next year,’ Erdogan said via video link. UPSTREAM

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