He noted that it became necessary to inform the public about some of the trading operations of the company he represents. K.Yavuz said that SOCAR has always divided public information about the company and implemented projects:
«SOCAR within the framework of the strategic partnership and brotherly relations between Turkey and Azerbaijan manages the investment portfolio of 20 billion dollars in Turkey. The projects we have implemented are the largest in the territory from the Caspian Sea region to Europe," he said.
K.Yavuz said the allegations that Turkey had suffered losses amounting to 10 billion dollars from the gas purchased from Azerbaijan are absurd:
“Since 2001, Turkey has purchased 38 billion cubic meters of gas from Azerbaijan through the Turkish company BOTAS. The total amount Azerbaijan was paid for was less than 10 billion dollars. Allegations that Turkey has suffered a loss of 10 billion dollars are contrary to mathematics. In accordance with the contract signed in 2001, BOTAS has always bought the cheapest gas from Azerbaijan. Just look at the amount paid for the purchase of gas from other countries to once again confirm the veracity of what has been said," said Kenan Yavuz.
K.Yavuz added that after the revision of the agreement in 2010, Azerbaijan will continue to be the cheapest and most reliable source of gas for Turkey.
"Deliveries of gas from Azerbaijan, unlike other supplies, never ceased warming our people in the darkest days. The population of Turkey has never raised the question of whether or not to terminate the gas supply from Azerbaijan," he said.
The SOCAR Turkey Energy Inc. official spoke of TANAP’s efficiency for Turkey, noting that the second-largest partner for the gas to be sold to Turkey and Europe through TANAP is Turkish Petroleum Corporation (TPAO).
“The natural gas to be extracted from the Shah Deniz field will be transported to Turkey through TANAP and to Europe through TAP. 30 percent of TANAP belongs to BOTAS. At a time the importance of security of energy supply is increasing, TANAP is a strategically important project which will reduce energy dependence on the other two major sources – Iran and Russia. At the same time, the TANAP project has lifted the need for the construction of new pipelines which Turkey would need to meet its increasing demand for energy and to be able to import additional gas it will need in the coming years and transport them to consumer centers. By this means, BOTAS now will not have to invest millions of dollars on its own. In accordance with the gas transportation deal between BOTAS and TANAP, BOTAS as a transporter will each year transport 6 billion cubic meters of gas over the TANAP system to Eskishehir and it will pay the amount of transportation tariff defined in the Host Country Agreement for each 1,000 cubic meters. BOTAS in return will re-earn the amount equal to 30-percent portion of the transportation revenue which TANAP will gain from the transportation of 16 billion cubic meters of gas. In other words, since BOTAS is the investor, it will get back an amount similar to that which it has paid to the government for transportation. Considering
In the years when the pipeline’s transportation capacity will, with a little amount of investment, increase up to 24 billions of cubic meters and then31 billion and that it consequently will double increase BOTAS’s annual transportation revenue, we can see how absurd the financial estimates made in support of claims that BOTAS will have losses in this project,” he said.
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