Turkey Signs Major 20-Year LNG Deal with Mercuria Energy

UPDATE: Turkey’s state gas company, Botas, has just finalized a groundbreaking 20-year liquefied natural gas (LNG) import agreement with Swiss trading house Mercuria Energy Group Ltd.. Starting in 2026, this deal will see Turkey import approximately 4 billion cubic meters of US-produced LNG annually, significantly bolstering its energy trade ambitions.

Energy Minister Alparslan Bayraktar confirmed the details in a post on X, highlighting that this deal is the largest in a series of new contracts aimed at diversifying Turkey’s energy sources. This volume represents around 8% of Turkey’s total annual gas demand, with additional supplies designated for markets in Europe and North Africa, potentially enhancing Botas’s international trading strategy.

The announcement follows Turkey’s recent agreement with Egypt to provide a temporary LNG import terminal, marking a strategic move as Egypt is currently the only active LNG importer in North Africa. Bayraktar also mentioned a separate preliminary deal with Woodside Energy Group Ltd. to import an additional 5.8 billion cubic meters from a Louisiana LNG export project starting in 2030.

These agreements come on the heels of a series of LNG contracts signed by Turkey at the recent Gastech conference, as the country seeks to reduce its reliance on traditional pipeline suppliers such as Russia and Iran. Botas is not alone in these efforts; many energy companies are ramping up their LNG portfolios in anticipation of a global supply glut expected to emerge next year.

The significance of these developments will be underscored in a high-stakes meeting between Turkish President Recep Tayyip Erdogan and US President Donald Trump, scheduled for Thursday at the White House. Gas trade will be among the critical topics on the agenda, with both leaders expected to discuss the implications of Turkey’s expanding LNG capabilities.

As Turkey positions itself as a key player in the global LNG market, the implications of these deals will have far-reaching effects not only on national energy security but also on regional geopolitical dynamics. Keep an eye on this developing story as further details emerge.