Turkey and Russia to cooperate on Black Sea pipeline

This week, Turkey and Russia signed 17 agreements to cooperate on a number of energy projects, including an oil pipeline that will transport oil from Russia, via the Black Sea, to the Mediterranean.

Russia's President Dmitry Medvedev described the agreements as "a full-scale strategic partnership”, which will unite the two historically rival nations. The two sides pledged to increase trade at least three-fold to US$ 100 billion within the next three years.

The two governments agreed to "actively develop" the oil pipeline project, which is already under construction, that will carry up to 1.5 million bbl/d of oil from Turkey's Black Sea coast to the port of Ceyhan, in the Mediterranean.

Russia had been unsure about committing to the US$ 3 billion Turkish plan, as it seemed to compete with a 51% Russian project to build a Bosphorus bypass from Burgas on the Bulgarian coast to Alexandroupolis in Greece. However, when a new Bulgarian government stalled that project in October, Russian companies initiated an agreement that would give them a stake in the Turkish pipeline. Russia's Energy Minister Sergei Shmatko has suggested that the two pipelines could be run jointly.

This week’s meeting also saw Turkey and Russia agree to mutually lift entry visa requirements for visits of up to 30 days in an effort to boost tourism and business.

Read the article online at: https://www.worldpipelines.com/business-news/14052010/turkey_and_russia_to_cooperate_on_black_sea_pipeline/