Turkey‘s state energy company, TPAO, is preparing a significant financial move. It plans to issue up to $4 billion in Islamic debt, known as sukuk. This marks the company’s debut sukuk offering. The primary goal involves accelerating oil and gas production growth within Turkey.
Domestic Production Acceleration
TPAO specifically earmarks the funds for critical domestic initiatives. It will direct capital towards expanding gas operations in the Black Sea. Furthermore, the company aims to develop unconventional resources located in Southeast Turkey. These projects represent key areas for national energy security.
Black Sea Gas Expansion
The Black Sea region holds substantial gas reserves. TPAO intends to use a portion of the sukuk proceeds here. This expansion will significantly increase Turkey’s natural gas output.
Southeast Turkey Unconventional Development
Southeast Turkey offers promising unconventional resource potential. The company plans strategic investments in this area. Developing these resources will diversify Turkey’s energy mix.
International Project Support
A portion of the proceeds will also bolster TPAO’s international endeavors. The company supports ongoing projects in several countries. These include Libya, Oman, and Pakistan. This global presence contributes to TPAO’s overall growth strategy.
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