Energy policy of Türkmenistan

Turkmenistan is a country located in middle Asia with rich energy resources. In the last quarter of the 19th century, the oil in Turkmenistan started to be produced by private foreign companies on an industrial scale. With the joining of Turkmenistan to the Soviet Union, oil nationalized, thus, it was aimed to develop the oil industry in the country. In the second half of the 20th century, by the discovery of rich natural gas deposits in the country, the oil production was relegated to the second place. When Turkmenistan was a part of the USSR, the country exported the most of its natural gas as a raw material (to other countries of the USSR). Despite the energy sector in Turkmenistan had been improved during the Soviet period, it was remained well below its potential. Since the country decided to secede from the USSR, various steps have been taken in order to develop the oil and gas industry, which accounts for the bulk of its exports. With a 10.1% share in terms of proven natural gas reserves, Turkmenistan ranks fourth in the world. However, Turkmenistan's natural gas production accounts for only 1.7% of the world's total production. With the new energy policy of Turkmenistan, it is aimed to increase the sales rate of petroleum and gas production and not only by providing crude oil and gas, but also by selling the producing oil and gas products. This thesis covers comparative information on production and consumption rates of oil and gas deposits in Turkmenistan, as well as the energy production on a yearly basis. The aim of this thesis is to provide information about the structure of the energy sector of Turkmenistan, the position of foreign oil and natural gas companies in the country, as well as natural gas trade between states and joint projects with foreign participation (pipeline projects). In addition, it was analyzed Turkmenistan's policy towards the Caspian Sea and its energy situation. KeyWords: Turkmenistan, Energy, Oil, Gas, Pipelines