Turkey to sign agreement with Shell for oil exploration in Mediterranean

Turkish Daily SABAH has acquired details of a deal inciting excitement in Turkey between Turkish Petroleum Corporation (TPAO) and Shell Oil Co. TPAO and Shell are set to sign the agreement next week.

Accordingly, initially TPAO will continue the ongoing seismic exploration being conducted in the Mediterranean at present with one of the world’s largest seismic ships the Challenger.

For the duration of two years two and three dimension seismic exploration will be conducted in a 1,100 and 1,500 square kilometer area off of the Gulf of Antalya.

ALL COSTS COVERED BY SHELL

Following the seismic work, will be a three year period of drilling. Should the drilling result in finding oil, then the petroleum found will be divided by the sides according to a specific percentage. Shell will be responsible for taking on all of the costs of seismic work, assessing data and drilling.

While TPAO will be undertaking the operations of the seismic efforts, Shell will be conducting the drilling in the areas specified. If petroleum is found, then TPAO will once again take the helm.

In regards to the agreement, Minister of Energy Taner Yıldız stated that Turkey would sign an important oil exploration deal next week.

17.11.2011
SOURCE: SABAH ENGLISH