Register with us today

and in less than 60 seconds continue your access to:Latest news headlinesAnalytical topics and featuresCommodities videos, podcast & blogsSample market prices & dataSpecial reportsSubscriber notes & daily commodity email alerts

Already have an account?

Log in to register

Forgot Password

Please Note: Platts Market Center subscribers can only reset passwords via the Platts Market Center

Enter your Email ID below and we will send you an email with your password.


  • Email Address* Please enter email address.

If you are a premium subscriber, we are unable to send you your password for security reasons. Please contact the Client Services team.

If you are a Platts Market Center subscriber, to reset your password go to the Platts Market Center to reset your password.

In this list
Oil

Turkey to keep trading with Iran despite US sanctions

LNG | Natural Gas | Oil | Crude Oil | Refined Products | Fuel Oil

Market Movers Europe, Sep 23-27: Uncertainty around Saudi attacks ripples through Europe

Oil

Platts Market Data – Oil

Commodities | Oil | Crude Oil | Marine Fuels

Marine Fuel Strategy Seminar (at MEEPEC)

Oil

Doubts hang over Iraq's OPEC compliance amid Saudi supply struggles

Turkey to keep trading with Iran despite US sanctions

Highlights

Industry players, upstream and downstream markets, refineries, midstream transportation and financial reports

Supply and demand trends, government actions, exploration and technology

Daily futures summary

Weekly API statistics, and much more

Istanbul — Turkey has no plans to change its trading relationship with Iran, Turkish economy minister Nihat Zeybekci said in an interview late Tuesday with Turkish television channel CNN Turk.

Not registered?

Receive daily email alerts, subscriber notes & personalize your experience.

Register Now

Related feature -- Iran Sanctions: Global Energy Implications

"Iran is our neighbor. It is a very important trading partner," said Zeybekci, pointing out the importance of Iran to Turkey's energy supply and the $20 billion trade balance between the two countries.

Iran has been Turkey's leading supplier of crude oil for most of the past two decades, ceding first place to Iraq only for three years during the recent period of US sanctions.



Imports last year came to 11.493 million mt, or 44.6% of the total supply, at an average of 230,800 b/d, up 66% from the 6.939 million mt supplied in 2016.

Turkey's sole refiner, Tupras, which imports crude for three of its four refineries with a total capacity of 540,000 b/d, is believed to have a long-term purchase agreement with Iran under which it imports regular volumes at a small discount to regional prices.

During the period of US and international sanctions against Iran, Tupras was obliged to reduce the Iranian volumes it imported by 20%, although the base volume for calculations was not made public.

Turkey's crude import situation is due to change in the next few months with the commissioning of Socar's 214,000 b/d STAR refinery, which officials have said will import a selection of regional crudes.

Speaking to Platts Tuesday, an official from Socar Turkey said that the refinery plans to start full commercial production at the end of September or early October and expects to receive its first crude cargo July 1-10.

The official declined to identify the planned source, suggesting only that, as the refinery will initially be operating for test production, the first delivery of crude would need to be from a source expected to be a regular major supplier.

Iran is also a major exporter of natural gas to Turkey through the purpose-built 14 Bcm/year Iran-Turkey gas pipeline, which began operations in 2001.

Turkey imports up to 9.6 Bcm/year of gas from Iran under a 25-year deal with Turkey's state gas importer Botas, signed in 1996. Imports last year came to 9.36 Bcm, representing 17% of total imports and meeting 17.5% of Turkish gas demand for the year.

Speaking to Platts at the World Petroleum Conference in Istanbul last year, Iranian officials confirmed that Tehran is interested in increasing the volume of gas it exports to Turkey utilizing the spare capacity in the existing export pipeline.

--David O'Byrne, newsdesk@spglobal.com

--Edited by James Leech, newsdesk@spglobal.com