Islamabad: Pakistan and Turkey on Friday signed Memorandum of Understanding (MOU) to intensify cooperation in the Energy sector.
The MOU is part of the other agreements that will be struck during the visit of the Honourable President of Turkey, Mr. Recep Tayyip Erdogan to Pakistan. Federal Minister for Energy Omar Ayub Khan and his Turk Counterpart H.E Fatih Donmez inked the MoU in the presence of Prime Minister Imran Khan and Turk President H.E Mr. Tayyib Erdogan on the February 14th, 2020.
The MOU in the Energy sector proposes cooperation in the area of hydrocarbons, Joint Ventures in Exploration and Production (E & P) and sharing of best practices in natural gas distribution, transmission , whole sale markets in liquefied petroleum gas market.
Some salient features of energy cooperation
Two sides will work to promote bilateral scientific, technological, administrative, commercial cooperation. Encouraging investments in hydrocarbons, new refinery, upgrade, modification of existing refineries, construction of pipelines, storage tanks, terminals and facilities. Development of supply, trading opportunities for petroleum and petroleum products mainly gasoline, fuel oil, bitumen and other products will be done. Turkish Petroleum International Company and Pakistan State Oil were nominated from both sides for the cooperation in this area.
JV’s in E and P secto-
Cooperation between parties for exploration and production activities, farm in and farm out opportunities, development and Production fields, exploration and development of offshore blocks, sharing/formulating strategies in field of petroleum engineering. OGDCL/PPL and Turkiye Petrolleri Anomium Ortakligi were nominated entities for cooperation in this sector.
Sharing Best Practices in Gas distribution, transmission, wholesale market
Two sides will cooperate in usage of LPG automotive (refueling stations, kits etc.) LPG equipment manufacturing industry .
Both the sides also agreed to explore mutually beneficial cooperation opportunities in the above three areas in particular and other areas in the energy sector in general. It was agreed that the current process must continue towards implementation. Pakistani and Turkish sides also agreed to remain in touch to expand cooperation in the Energy sector.