FRENCH SEEK COOPERATION IN NABUCCO IN ANKARA

Today’s Zaman
Feb 11 2010
Turkey

Officials from the French natural gas company Gaz de France (GDF) are
expected to visit Ankara this weekend to discuss possible partnerships
in a number of energy projects, including participation in the Nabucco
pipeline project and the establishment of electricity generation
facilities in Turkey.

The French company was previously vetoed by Ankara from participating
in the international consortium building the Nabucco pipeline that
will connect Caspian natural gas resources to the European market.

Relations between Turkey and France worsened following the French
parliament’s acceptance of allegations of genocide against Anatolian
Armenians during the Ottoman era. President Nicolas Sarkozy’s strong
opposition to Turkey joining the European Union has added fuel to the
fire. This weekend’s visit is interpreted by observers as a step to
improve relations by the French side.

GDF is particularly interested in natural gas distribution tenders
for Ä°stanbul and Ankara along with liquefied natural gas (LNG)
distribution in other provinces.

The government will request French support for Turkey’s efforts to
enter an EU energy community, studies for which started last year,
in return for cooperation in energy projects in Turkey, Today’s Zaman
learned from officials at the Ministry of Energy. The government will
also seek French support in an anticipated energy chapter with the EU.

Austria’s OMV, Bulgaria’s Bulgargaz, Turkey’s BotaÅ~_, Germany’s RWE,
Hungary’s MOL and Romania’s Transgaz are partners in the EU-backed
project, which would reduce Europe’s reliance on Russian gas.

Gas transmission to EU countries via the Nabucco pipeline still remains
uncertain since questions such as who will lead the talks and how the
price will be determined still wait for answers. OMV said last month
that the project would not happen if an open season bidding process
for capacity this year shows that demand is too low. In addition to
this, Azerbaijani President Ilham Aliyev has recently criticized the
project for being "full of uncertainties."