Minister: Estimated 6 billion-barrel shale oil reserves in southeast Turkey

The Turkish Energy Minister said that U.S. oil company Continental Resources estimated there to be a shale-oil reserve of 6.1 million barrels in Turkey’s southeast Diyarbakir Basin.

If confirmed, these reserves would put Turkey ahead of some OPEC countries such as Gabon or Congo, as well as other major producers like the UK.

Continental Resources and the Turkish National Oil Company TPAO signed a Joint Venture Agreement in March for the development of shale-fields in this basin.

"Turkey imports 365 million barrels of crude oil annually." "A 6.1 billion-barrel reserve is an impressive figure," said Energy Minister Alparslan Bayraktar to reporters this week during a trip to the Sirnak Province in southeast Turkey.

The minister had previously hailed the March agreement, describing it as "a new age", with Turkey citing shale gas and oil discoveries as an important development. Bayraktar stated that the country aims to produce shale-gas from the northwestern Thrace area.

He said that "shale oil and gas could be game changers."

Continental Resources didn't respond immediately to a comment request.

President Tayyip Erdoan announced last week that he had discovered a new natural gas reserve in the Black Sea of 75 billion cubic meters (bcm).

Turkey currently imports more than 90% its energy. It aims to reduce its import bill, and increase supply security, by developing its domestic resources, and expanding international partnerships for oil and gas exploration.

Two years ago, Turkey's "largest onshore oil find" was announced in Sirnak. It was 1 billion barrels. It was a lighter grade, with an API gravity of just 41. This is a lower grade than Turkey currently produces.

According to data from the energy regulator and ministry, Turkey will produce 127,000 barrels of crude oil per day in 2024 while importing an equivalent of 1 million barrels of oil per day. According to data from the energy regulator, discounted Russian oil and refined goods accounted for more than two thirds of Turkey's total imports in 2017. (Reporting and writing by Huseyin Haatsever, Daren Butler and Kate Mayberry; editing by Kate Mayberry, Tomaszjanowski and Kate Mayberry)

(source: Reuters)