Turkish Press
May 29 2005

Baku – Ceyhan Turning Point

BY ERHAN BASYURT

ZAMAN- The first oil was pumped through the Baku-Tbilisi-Ceyhan (BTC)
pipeline in Azerbaijan two days ago. The huge project is a turning
point not only for Turkish-Azerbaijani relations, but also for the
region’s future. For the first time, one of the ex-Soviet republics
has succeeded in opening to the world through an energy
transportation line with Russia excluded. The new pipeline will spur
steady growth in the Azerbaijani economy. Azerbaijan expects a growth
of 20% over the next few years. The Baku-Tbilisi-Ceyhan pipeline, one
of the longest pipelines in the world at 1,774 kilometers, will
contribute to the cooperation and stability of the three countries
through which it passes. A natural gas pipeline has started
construction in parallel with the BTC, and its completion is planned
for 2006. This way the friendship will be strengthened even more.
British Petroleum (BP), the largest partner in the project, claims
that the benefits to the three countries will amount to $150 billion
from the oil and gas transportation. The Turkish, Georgian and
Azerbaijani leaders at the BTC opening ceremony also signed a pact
for the Kars-Tbilisi-Akhalkalaki-Baku Railway project, which is an
indication of the emerging stability of the Caucasus. This project,
which will connect Turkey and Eurasia, has been delayed for years due
to the Armenian minority’s threat in the Akhalkalaki region.

Kazakhstan will also connect to BTC through Aktau. This way they will
have an alternative route to Russia. This way tanker traffic and the
threats to the environment and lives posed by tankers in the Turkish
Straits will fall. The BTC has a great strategic importance for
Turkey. Our port of Ceyhan’s importance has risen as an energy
transfer point. Turkey has become an energy route for Iranian and
Azerbaijani gas and Iraqi and Caspian oil, and Turkey’s strategic
importance rose for the EU. Now transferring natural gas to Europe
through Greece isn’t a dream anymore. In addition, the Turkish
Petroleum Corporation (TPAO) is a partner of the projects with a
share of 6.5% and for the first time, Turkey is signing a partnership
with international companies with oil and natural gas fields of this
scale. Of course this experience will have a contribution and
financial benefits for the TPAO’s future roles. In sum, pumping the
first oil in the BTC pipeline is a turning point in many ways and
strengthens the search for multidimensional cooperation among
countries of the region.