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GLNG: Turkey begins talks with ExxonMobil on LNG deal in quest to diversify gas supply

Turkey has commenced negotiations to purchase LNG from US energy giant ExxonMobil, the Financial Times reported on April 29. In an effort to diversify its supply portfolio and reduce its dependence on Russian gas and also strengthen national security, Turkey, a Nato member, is now in the midst of discussions with the US supermajor that could see it purchase up to 2.5mn tonnes per year (tpy) of LNG over a ten-year period.

At current prices, a deal for 2.5mn tpy of the super-chilled fuel would come at a cost of about $1.1bn to Ankara, according to data agency Argus. Meanwhile, the purchase of 2.5mn tpy of LNG would cover about 7% of Turkey’s natural gas consumption based on data for last year from the Energy Market Regulatory Authority.