Turkmenistan is a major player in the Asian oil & gas market.  The country's hydrocarbon resources are estimated at over 71 billion tons of oil equivalent, that is over 20 billion tons of oil and over 50 trillion cubic meters of natural gas. Given these figures, as of today, Turkmenistan holds the world’s fourth largest proven natural gas reserves, after Russia, Iran and Qatar.

Currently Turkmenistan’s largest customer is the People’s Republic of China.  Nearly 40 (forty) billion m3/year (BCMA) of the natural gas are currently supplied through three strings (A, B and C) of the Turkmenistan-Uzbekistan-Kazakhstan-China transnational gas pipeline, commissioned in December 2009.  Upon completion of the fourth D string, the annual Turkmen natural gas supply is intended to reach a contractual 65 billion BCMA.  Turkmenistan has recently resumed gas supplies to Russia and has the technical capability to supply natural gas to Iran (South). 

Turkmenistan is also proceeding with the Turkmenistan-Afghanistan-Pakistan-India (TAPI) gas pipeline.  The construction of the total 1,814 kilometers length of the TAPI gas pipeline, with a capacity of 30 BCMA started in December 2015.  Currently, the 214 kilometer Turkmen section of TAPI is being laid, and construction works on the Afghan section were also launched in February 2018.  TAPI is planned to go through the Afghan cities of Herat and Kandahar, through the Pakistan cities of Quetta and Multan, and finally to reach the settlement of Fazilka on the Pakistan-India border.  The project is supported by the United States, Russia and several other countries, as well as major international financial institutions, in particular, the Asian Development Bank.

Turkmenistan is actively developing its offshore fields in the Caspian Sea and on shore in the Balkan region. Currently, a number of leading IOC’s producing oil and gas from contractual areas in the Caspian sea, among them: ENI, Dragon Oil, Petronas, Areti and others.

In addition to the above North, South and East supplies, and given recent agreements concerning the Caspian Sea, Turkmenistan is now considering the potential of supplying natural gas westwards to Europe.  There are a number of options for the implementation of this project, which are currently under discussion.

Turkmenistan is now actively developing a major gas & oil processing capacity, which may, in the long term, become dominant in the country’s economy, over the export of hydrocarbons.  A number of plants have already been constructed and more are planned for the supply of higher value added products.  Last year, the plants for production of urea fertilizers and high – density polyethylene and polypropylene were commissioned.

New GTG plant in Ovadandepè (Ahal region), was commissioned on 28th of June. This state-of-the-art facility is equipped with the modern machinery and cutting edge technologies from well-known global manufacturers, and will process 1 billion 785 million cubic meters of “blue fuel” annually and produce 600 thousand tons of A-92 (RON-92) gasoline of the highest environmental standards (Euro-5), as well as 12 thousand tons of refined diesel fuel and 115 thousand tons of liquefied gas. The total cost of this investment project, implemented jointly by the State Concern “Turkmengas” and a consortium of companies comprising of Kawasaki Heavy Industries Ltd. (Japan) and Rönesans Endüstri Tesisleri Inşaat Sanaýi ve Ticaret A.Ş. (Turkey), is around 1 billion 700 million US dollars. The project is financed by the Japanese Bank for International Cooperation (JBIC).

“It is important to continue our work on in-depth gas processing and to launch new projects using modern technology and implementing best world practice while promoting our own process development” - stated President of Turkmenistan Gurbanguly Berdimuhamedov. 

Establishing a constructive dialogue with countries interested in promoting effective cooperation with Turkmenistan is the main goal of Turkmenistan’s foreign policy, which is based on the principles of positive neutrality, transparency and good relationships with neighboring countries.