Turkish state energy company BOTAS has signed a 20-year deal with Mercuria for the annual supply of around 4 billion cubic metres (bcm) of liquefied natural gas (LNG) starting in 2026, Energy Minister Alparslan Bayraktar said on Wednesday.
The deal, signed in New York during President Tayyip Erdogan’s visit to the United Nations General Assembly, will total approximately 70 bcm over its duration. Supplies will be sourced from loading terminals in the United States and regasification facilities in Turkey, Europe, and North Africa.
“This agreement will significantly contribute to the $100 billion trade volume target with the U.S.,” Bayraktar said, adding that the deal aims to enhance supply security and diversify Turkey’s energy sources.
The energy deals come as Turkey moves to improve ties with Washington. On Monday, Ankara announced it had lifted retaliatory tariffs imposed in 2018 on a range of U.S. imports, including passenger cars and fruit. The decision was seen as a gesture of goodwill ahead of Erdogan’s scheduled meeting with U.S. President Donald Trump at the White House on Thursday.
BOTAS is responsible for Turkey’s oil and gas infrastructure and gas trade, while Mercuria is one of the world’s largest energy and commodity groups.
A Turkish Energy Ministry statement also said BOTAS signed a long-term preliminary LNG deal with Woodside Energy, Australia’s top gas producer.
That agreement provides for the supply of some 5.8 bcm of LNG to BOTAS for nine years, starting in 2030, mostly from Woodside’s Louisiana LNG project.
(Reporting by Can Sezer; Writing by Daren Butler; Editing by Ece Toksabay and Louise Heavens)