Turkey’s oil and gas production index reached a historic high of 147.8 in June, according to the Turkish Statistical Institute (TurkStat). This is due to major discoveries in the Sakarya gas field and Gabar Mountain. This represents a significant increase from the previous year’s index of 115.7.

Türkiyes advanced energy production

• The journey of energy production growth in Turkey began in 2005, when the index was 69.6.
• It remained relatively stable at around 75 until 2020, when the discovery of a large natural gas source in the Sakarya gas field pushed the index up to 99.4.
• The index crossed the 100 mark for the first time in May 2021 and continued its upward trend, reaching 146.1 in March 2024 before peaking in June.

What are the reasons for the success of Turkish energy production?

• Strategic investments: The foundation for this growth was laid in 2017 with the addition of Turkey’s first national drilling vessel, Fatih, to the Turkish Petroleum Corporation (TPAO) inventory.
• Important discoveries: In August 2020, Fatih discovered Turkey’s largest natural gas reserve in the Sakarya gas field, which led to an increase in production. Currently, this field alone produces 5.5 million cubic meters of natural gas per day, enough to meet the needs of 2.4 million households.
• Future potential: A floating gas processing platform is expected to arrive in October 2024, which will further increase production and supply gas to five million households.

Recent developments in Turkey’s oil production

• Discovery of Gabar Mountain: In 2022, Turkey discovered high-quality crude oil in the Gabar Mountains with estimated reserves of 150 million barrels, making it one of the top 10 onshore discoveries worldwide that year. In June 2024, Gabar’s daily production reached 45,000 barrels, with the target being 100,000 barrels per day.
• More comprehensive exploration: Exploration activities in southeast Turkey, especially outside Sirnak, are ongoing and significant potential is being identified, with the aim of achieving total production of over 200,000 barrels per day, which would represent 20% of Turkey’s oil consumption.

Turkey attracts both domestic and foreign investors

• Expansion in exploration: Turkey’s oil and gas exploration efforts are being stepped up, with the Abdulhamid Han drillship set to explore new sites in the Black Sea and the Eastern Mediterranean. These efforts are crucial as Turkey seeks to reduce its energy dependence.
• Investment opportunities: The recent increase in production offers opportunities for both domestic and foreign investors. As the sector grows, the participation of private companies becomes increasingly important alongside national entities such as TPAO.

Zoom in: According to Aziz Camci, Chairman of the Petroleum Platform Association (PETFORM), the increase in production is likely to attract more investors from home and abroad. Camci stressed the importance of tapping into Turkey’s untapped potential in both offshore and onshore reserves, saying: “We need to improve our current capabilities in terms of manpower, equipment and technology to drive new discoveries.”