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. Last Updated: 07/27/2016

Turkey Set to Exploit New Caspian Oil Well

ANKARA, Turkey -- Turkey, part of the consortium that signed a $7 billion oil deal with Azerbaijan to develop three Caspian Sea oilfields, may join a new partnership to exploit a fourth offshore well, a senior oil official said Wednesday. State-owned Turkish Petroleum, TPAO, plans to join British Petroleum and Norway's Statoil, two of the nine partners in the consortium, to exploit the Caspian fields, TPAO general director Sitki Sancar said.

"The Shahdeniz field is among the biggest after the mega-project we have signed. We may form a three-member consortium for this project," Sancar told the Anatolian news agency in Baku where he attended Tuesday's signing ceremony. He gave no time frame.

"A reserve of 2 billion barrels, or around 300 million tons are expected from this (Shahdeniz) field," he said, adding that TPAO could have a 15 percent stake in the new deal.

TPAO has a 2.5 percent share in the consortium which holds 80 percent of the shares in the production-sharing deal that will exploit the fields of Azeri, Guneshli and Chirag over 30 years.

The consortium is comprised of British Petroleum/Statoil, Amoco, Pennzoil, Ramco, Unocal, McDermott and Turkish Petroleum as well as Russia's Lukoil conglomerate.

Turkey's Foreign Ministry welcomed the accord Wednesday and said regional peace and stability would be enhanced by the deal.

The agreement would help Azerbaijan's development and ease its way into a market economy, ministry spokesman Ferhat Ataman said. "We wish brother Azerbaijan the best in this deal."