AVAZA, Turkmenistan May 21 Turkmenistan, with
the world's fourth largest natural gas reserves, expects more
than $3 billion in direct foreign investment from companies
looking at its Caspian Sea oil reserves, a senior official said
While gas output is rising fast on growing exports to China,
oil production has been relatively modest, staying barely
changed at around 10 million tonnes a year.
Malaysia's Petronas and London-listed Dragon Oil are
producing oil, while Germany's RWE, Russia's Itera and
Cyprus-headquartered Buried Hill are prospecting for oil on the
"In 2013, (foreign) contractors' investments in the Turkmen
sector of the Caspian totalled more than $2.5 billion,"
Yagshigeldy Kakayev, head of the Turkmen state agency on
management and use of hydrocarbon resources, told a gas congress
in the Caspian resort of Avaza in western Turkmenistan.
"Our preliminary data show that already this year these
investments are set to exceed $3 billion."
Kakayev said the Caspian Sea shelf accounted for 55 percent
of total foreign investment in the development of Turkmenistan's
Kakayev said the Turkmen sector of the Caspian Sea included
32 licence blocks, and five of them were now being developed by
foreigners in production sharing agreements.
"The remaining blocks are an issue of direct negotiations
for all interested sides," he said.
Turkmenistan's government estimates that its sector of the
Caspian Sea shelf may hold 12 billion tonnes of oil and more
than 6 trillion cubic metres of natural gas.
A Turkmen official, who declined to be named, told Reuters
that Western energy majors including BP, Total,
Gaz de France, Eni, Chevron and ExxonMobil
had displayed interest in developing the offshore oil
and gas deposits. He gave no further detail.
(Reporting by Marat Gurt; Writing by Dmitry Solovyov, editing
by William Hardy)