Mas­sive Chi­nese bank fund­ing en­ergy projects in Turkey

Daily Sabah (Turkey) - - Front Page -

THE IN­DUS­TRIAL and Com­mer­cial Bank of China (ICBC), one of the world’s largest banks, will pro­vide a $3.6-bil­lion loan pack­age for Turkey’s en­ergy and trans­porta­tion sec­tors, Trea­sury and Fi­nance Min­is­ter Berat Al­bayrak said Thurs­day. “The $3.6 bil­lion loan pack­age from Chi­nese fi­nan­cial in­sti­tu­tions for en­ergy and trans­porta­tion sec­tor in­vest­ments – pri­vate sec­tor, pub­lic in­sti­tu­tions and banks – has been ap­proved,” Al­bayrak said on his of­fi­cial so­cial me­dia ac­count. The min­is­ter added that ne­go­ti­a­tions dur­ing his visit to China were “fruit­ful.” Ear­lier in May, Al­bayrak vis­ited a num­ber of in­sti­tu­tions in China and held a num­ber of key meet­ings with Chi­nese rep­re­sen­ta­tives, in­clud­ing the ICBC.

AL­BAYRAK also met of­fi­cials of the State Power In­vest­ment Cor­po­ra­tion (SPIC), State Nu­clear Power Tech­nol­ogy Com­pany (SNPTC), China’s Na­tional En­ergy Ad­min­is­tra­tion (NEA), Chi­nese Atomic En­ergy Au­thor­ity (CAEA) and State Grid Cor­po­ra­tion of China. Turkey’s state-owned Petroleum Pipe­line Com­pany (BOTAŞ) and ICBC signed Thurs­day a mem­o­ran­dum of un­der­stand­ing (MoU) to fi­nance - $1.2 bil­lion with a ma­tu­rity of 15 years - in ca­pac­ity in­crease projects at the Silivri and Lake Tuz Nat­u­ral Gas Stor­age Fa­cil­i­ties, which will be able to store 20 per­cent of Turkey’s an­nual nat­u­ral gas con­sump­tion.

Ac­cord­ing to the agree­ment, a third of ICBC’s $3.6 bil­lion fi­nanc­ing pack­age for Turkey will be al­lo­cated to nat­u­ral gas stor­age in­vest­ments, in­clud­ing at Silivri and Lake Tuz Nat­u­ral Gas Stor­age Fa­cil­i­ties. Sup­port pro­vided as a pro­ject loan will have a ma­tu­rity of 15 years, with no grace pe­riod for the first five years. The ca­pac­ity of the Lake Tuz Nat­u­ral Gas Stor­age Fa­cil­ity, which was in­au­gu­rated last year, will in­crease from 1.2 bil­lion cu­bic me­ters to about 5.4 bil­lion cu­bic me­ters in the medium term fol­low­ing the ex­pan­sion works. Like­wise, the ca­pac­ity of Silivri fa­cil­ity, which can store 2.8 bil­lion cu­bic me­ters of gas, will be in­creased to 4.6 bil­lion cu­bic me­ters. By 2023, both nat­u­ral gas stor­age fa­cil­i­ties will have a to­tal ca­pac­ity of 10 bil­lion cu­bic me­ters, about 20 per­cent of Turkey’s an­nual nat­u­ral gas con­sump­tion.

Newspapers in English

Newspapers from Turkey

© PressReader. All rights reserved.