Shell and BOTAŞ Set to Revolutionise Turkey’s LNG Offering
“Building on 100 years of Shell in Türkiye, we are pleased to work with BOTAŞ and supply LNG as it diversifies Türkiye’s sources of natural gas,” said Wael Sawan, Chief Executive Officer of Shell.
This comes as the British oil and gas giant, by working with BOTAŞ, is expanding the Turkish energy company’s LNG access, using its extensive terminal and pipeline infrastructure to help Turkey to diversify its gas resources and become a major regional gas hub.
Alparslan Bayraktar, the Republic of Türkiye’s Minister of Energy and Natural Resources, said: “Our goal in natural gas, 99% of which we imported until the discovery of Black Sea Gas, is to diversify the supply side and offer natural gas to our citizens and industry in a more competitive and affordable rate.
“In this context, we have strengthened our infrastructure with international pipelines, LNG terminals and underground storage projects. The LNG supply agreement signed with Shell will increase the diversity and flexibility of our portfolio.”
LNG in Turkey
Turkey’s energy history has seen the country drastically transition from a heavy reliance on imported fossil fuels to a more diversified approach.
Since the 1980s, Turkey has expanded its natural gas infrastructure — including LNG terminals — to enhance energy security. The country has also invested in renewable energy sources and aims to achieve net-zero emissions by 2053
A state-owned pipeline company, BOTAŞ operates several LNG terminals and floating storage and regasification units (FSRUs).
Its energy evolution has seen the country has become one of Europe's largest LNG importers, with the United States supplying 37% of its LNG in 2022.
“We are also pleased that BOTAŞ will acquire new capabilities in the field of LNG transport via ships by receiving the LNG at the loading port within the scope of the agreement,” Alparslan added.
“Such agreements make significant contributions to the supply security of not only our country but also the region.
Wael continued: “LNG offers a flexible and reliable source of energy and has a vital role to play in the transition to a lower carbon energy system.”
About BOTAŞ
A state-owned crude oil and natural gas company in Turkey, BOTAŞ was established in 1974 for the construction and operation of the Kirkuk–Ceyhan Oil Pipeline.
In the 50 years since, it has proved itself as playing a pivotal role in pioneering Turkey’s LNG sector. This has been instrumental in diversifying Turkey’s energy sources and enhancing its energy security through strategic LNG investments.
BOTAŞ operates the Marmara Ereglisi LNG Terminal, the country’s first LNG facility, which was commissioned in 1994 to meet seasonal demand peaks.
Thanks to BOTAŞ, Turkey’s LNG imports have significantly increased in recent years, making it a key component of the country’s long-term diversification strategy.
As well as partnering with Shell, the company has signed major long-term LNG deals with major global energy players like ExxonMobil to bolster Turkey’s position in the global LNG market.
Shell: Facilitating energy security
As a leading LNG supplier, Shell plans to grow its LNG business by between 20% and 30% by the end of the decade, compared to a 2022 baseline.
This development is part of the company’s growth and work to strongly position itself to deliver value — particularly as it motions toward becoming a net zero emissions energy business by 2050.
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