Turkey has sent a proposal to Gasprom to reduce gas price and it hopes that the supplier will take the proposal into consideration, Turkish Minister of Energy and Natural Resources Taner Yildiz said at a press conference in Moscow yesterday.
He said Turkey requests discount for additional volume of gas exported via Blue Stream. TACC quoted Turkish Minister as saying that share of Russian gas at the Turkish market could increase from 43% to 46% this year. However, Russian Energy Minister Alexander Novak said that “increase in the volume of pumping will demand investments, economic advisability of which must be evaluated.”
He added that Gasprom and Turkish BOTAS have been discussing the issues of economic advisability, reimbursement of the project costs and increase in the Blue Stream gas pipeline capacity from 16 to 19 billion cub.m. of gas a year as well as the price issue, reported Interfax.
In order to make a decision on the increase in the gas export via the Blue Stream gas pipeline, one needs to complete evaluation of economic efficiency of the required investments and the both sides have agreed to that, TACC reported.
Russia said that upgrade of the entrance part of Durusu terminal must be completed to increase the gas deliveries. The sides have expressed readiness to contribute to prompt upgrade of the terminal. They have agreed to negotiate the documents for a simplified customs registration of the equipment required for the terminal upgrade.
In quarter 3, 2014 Turkey has remained among the biggest consumers of Russian gas. The other big buyers have significantly reduced gas purchases, reported Interfax. From January to September 2014 Turkey increased Russian gas purchase by 7.2% up to 20.7 billion cub.m.
Early October Gasprom reported that Aleksei Miller, chairman of Board of Gasprom, and Taner Yildiz agreed to increase capacity of Blue Stream gas pipeline up to 19 billion cub.m. of gas a year. A source close to Gasprom to Vedomosti that expansion will need a year or two of preparation.
The sides have also agreed to fully load the existing capacities of Blue Stream gas pipeline. In 2013 Gasprom exported 13.7 billion cub.m. of gas to Turkey via the pipeline or 26.6 billion cub.m., considering transit through Ukraine, Romania and Bulgaria. Growth of export via Blue Stream will allow increasing export to Turkey by 13% up to 30 billion cub.m. this year. This is a maximum volume according to the Turkish contracts.
