Turkish energy companies are set to initiate oil and gas exploration offshore Pakistan following agreements established during a visit by Turkish Foreign Minister Hakan Fidan on March 6, 2024. The collaboration aims to strengthen ties between Turkey and Pakistan in the energy sector, although specifics regarding the exploration drilling plans have not been disclosed.
During the visit, Fidan emphasized the intent to create a more structured partnership between the two nations. He noted that discussions are also underway regarding potential collaboration in various sectors, including mining and rare earth elements. Earlier in 2024, Pakistan formalized an agreement with Turkey to develop its offshore oil and gas resources.
Joint Ventures and Strategic Partnerships
The Turkish Petroleum Corporation (TPAO) and three of Pakistan’s national oil companies are preparing to submit joint bids for several blocks in an upcoming tender. This tender involves 40 offshore blocks, as announced by Turkey’s Energy Ministry in April. Alparslan Bayraktar, Turkey’s Energy Minister, stated, “This step will deepen the strategic energy partnership between Türkiye and Pakistan and will also be an important threshold in terms of regional energy security.”
Pakistan’s domestic oil reserves have seen a notable increase, marking the first significant growth since 2020. By December 2024, the reserves reached 238 million barrels, reflecting a 23% annual increase. Key contributors to this rise include the Pasakhi/Pasakhi North East, Rajian, Kunar, Sono, Thora, Jhandial, and Lashari Centre fields, according to a report by Arif Habib Limited.
Despite these advancements in oil reserves, Pakistan continues to rely heavily on imports to satisfy its energy demands. Natural gas reserves remained relatively unchanged compared to the estimates for 2023, emphasizing the ongoing challenges faced by the country.
Turkey’s Broader Energy Goals
In pursuit of energy independence, Turkey is simultaneously enhancing its domestic natural gas production in the Black Sea region while exploring opportunities in Bulgaria’s Black Sea, the Caspian Sea, and Iraq. This dual strategy not only aims to secure energy resources for Turkey but also positions the nation as a key player in regional energy dynamics.
As Turkish firms prepare for exploration activities in Pakistan, the partnership signifies a potential shift in regional energy collaboration, with implications for both nations’ energy security and economic development.
