Oil and gas industry of Turkmenistan is the leading branch of the national economy. The policy consistently implemented under the leadership of President Serdar Berdimuhamedov is aimed at the comprehensive development of the fuel and energy complex and its dynamic integration into the international energy system. Large-scale investment projects implemented by our country in this area are not only of great economic importance, but also play a significant role in strengthening regional and global energy security.
Having established close contacts with leading oil and gas companies and authoritative financial structures, as well as significantly expanding the geography of direct energy dialogue with foreign partners, Turkmenistan, having colossal natural resources, rich hydrocarbon deposits, seeks to use them in the interests of all mankind.
As President Serdar Berdimuhamedov emphasizes, we are doing a lot of systematic work to develop the oil and gas industry and diversify natural gas transportation routes to foreign markets. In accordance with the state energy strategy, the hydrocarbon potential of our country is realized in the interests of the people of Turkmenistan and other peoples of the planet. The practical measures taken in this direction are yielding positive results.
Thanks to a favorable geopolitical and economic position, diversification of export routes for energy supplies, advocating an equal and mutually beneficial partnership, our Fatherland is systematically strengthening its position on the world stage.
The expansion of international cooperation in the energy sector is a priority of the economic strategy of Turkmenistan, which is given great attention as the most important factor in the successful implementation of the 2030 Agenda for Sustainable Development, adopted at the UN General Assembly. The policy pursued in this area is based on the principles of long-term, openness, consideration of national interests and mutual responsibility.
The constructive initiatives of our country aimed at forming a new architecture of global energy security enjoy wide support in the world.
They include diversification of the industry, construction of modern complexes specializing in oil and gas processing, accelerated industrial development of new fields, including the Turkmen sector of the Caspian Sea and the Galkynysh field, as well as effective use of digital technologies in practice.
Such grandiose projects as the construction of gas pipelines to China and Iran, the ongoing construction of the Turkmenistan-Afghanistan-Pakistan-India gas pipeline can be considered as a contribution of our state to the development of international energy cooperation.
The TAPI project is another effective step in the implementation of the energy strategy of Turkmenistan, the key aspects of which are the comprehensive modernization of the national fuel and energy complex, building up its potential with a view to the future, and creating new systems for transporting energy carriers to the world market.
Supported by the leading powers and authoritative international financial institutions, this energy pipeline is designed not only to ensure the supply of Turkmen gas to the countries of South Asia, but also to become a key factor in strengthening economic partnership and contribute to strengthening peace and stability in the region.
It is especially important for the peaceful revival of Afghanistan, restoration of its socio-economic infrastructure, solution of such pressing issues as the creation of new jobs, which in turn will help improve the living standards of the population.
The useful experience gained during the implementation of such megaprojects can be used to further expand the gas transportation infrastructure.
Currently, the resource base is being strengthened and the infrastructure of the transnational pipeline Turkmenistan-China is being developed, which serves as a good example of long-term, constructive and fruitful interstate cooperation aimed at concrete results.
President Serdar Berdimuhamedov set large-scale tasks for the fuel and energy complex, where great importance is attached to conducting exploration work in order to identify rich deposits, increase production and processing of hydrocarbons, form various routes for the delivery of Turkmen energy resources to world markets, use innovations in oil and gas production, and intensify work on drilling and workover of wells, including by attracting specialized foreign companies and investments.
In confirmation of this, new deposits - Joramergen, Gökmiýar and Daşrabat - are gradually being put into operation in the Bagtyýarlyk contract area. Thus, the exploration, development, development, seismic surveys, drilling of exploration and production wells carried out on the right bank of the Amu Darya, carried out under the terms of the Production Sharing Agreement with the China National Petroleum Corporation (“CNPC”), made it possible to identify large gas deposits here.
Along with exports, the most important task of the fuel and energy complex is to meet the growing domestic demand for energy resources, which is due to the dynamic pace of development of the leading sectors of the national economy, including oil and gas, chemical, electric power, construction industry, etc.
The implementation of new projects in the gas industry is among the key vectors of our state policy. In accordance with the economic strategy of the President of Turkmenistan, the solution of tasks aimed at diversifying the entire national economic complex is aimed at increasing the volume and expanding the range of products manufactured in the country, which are in high demand abroad.
In this context, modern industrial giants specializing in the deep processing of hydrocarbon raw materials are systematically increasing their potential.
In particular, a polymer plant in the village of Kiyanly, Balkan velayat, producing polyethylene and polypropylene of various grades, built by the order of the State Concern “Turkmengaz” by the companies “LG International Corp.” and Hyundai Engineering (Republic of Korea) with the participation of TOYO Engineering Corporation (Japan).
Anothery good example is a plant for the production of synthetic gasoline from natural gas in Akhal velayat, built jointly by the State Concern “Turkmengaz” and the consortium of companies “Kawasaki Heavy Industries Ltd.” (Japan) and “Rönesans Endüstri Tesisleri Inşaat Sanayi ve Ticaret A.Ş.” (Turkey).
It should be noted that the plant in Kiyanly mastered the production of a new product for Turkmenistan - high-density polyethylene. Obtained by the polymerization reaction of ethylene at low pressure, it has high hardness and strength, chemical resistance to acids, alkalis, fats and oils.
Turkmen polyethylene is in great demand both on the world and domestic markets, as it is widely used as a raw material for the production of both technical and household items - films, bags, communication pipes, electrical cable insulation. It is used to make containers for household chemicals, canisters, barrels, toys, dishes, inventory, etc.
Along with increasing oil and gas production, strengthening the raw material base of the industry, creating a multi-variant system for transporting Turkmen energy resources to world markets, much attention is paid to the technical and technological re-equipment of enterprises in the energy sector, the construction of large industrial facilities specializing in the processing of hydrocarbon raw materials.
The aforementioned plant in Akhal velayat is indicative in this regard, included in the Guinness Book of Records as “The world's first plant for the production of gasoline from natural gas” and awarded the “Innovative Technologies” certificates of the Swiss Federal Institute of Technology and “Environmentally Friendly” certificate of the Environment Conservation Fund (USA).
Here, according to the technology developed by the Danish company Haldor Topsoe, “blue fuel” is processed with the lowest energy consumption and minimal environmental impact and ECO-93 gasoline of the EURO-5 standard is produced, which meets the highest environmental requirements, as well as liquefied gas.
The use of fuel grade ECO-93 reduces the content of sulfur oxides in the exhaust gases of cars by 50 times, nitrogen oxides by 5 times, carbon monoxide by 2 times and hydrocarbons by 20 percent, which can significantly reduce the level of emissions of harmful gases into the atmosphere. In addition, carbon deposits formed in the car engine are reduced, which extends the technical life of its service by 2 times.
Today, the share of the Turkmenbashi complex of oil refineries, where there are installations for the production of gasoline obtained from oil refining, due to reconstruction and technical re-equipment, accounts for a quarter of the volume of industrial production produced in the country. It should be noted that increasing the production capacity of the Turkmenbashi Complex of Oil Refineries, the flagship of the Turkmen petrochemistry, is given priority.
The plant's products are high-octane unleaded motor gasolines, aviation, lighting and technical kerosenes, liquefied gas, various types of diesel fuel, technical lubricating oils and polypropylene, as well as calcined electrode coke, road and construction bitumens, packaging film 20, 25 and 30 micrometers thick , white mother-of-pearl polypropylene film of various thickness, used in the packaging of sweets and gift wrapping, etc.
In accordance with the Program for the development of the oil and gas industry of Turkmenistan until 2030, in the near future it is planned to build new gas chemical complexes in the regions of the Motherland, including the production of linear low-density polyethylene, isobutane, methanol, polyvinyl acetate, liquid chlorine, sodium sulfate, etc. Particular attention will be paid to the establishment of hydrogen production, which is being developed as a strategy for the “fuel of the future” in the developed countries of the world. All this will strengthen the innovative component of the economy and increase the share of high value-added products in exports.
At present, the construction of delayed coking units (DCU) and tar deasphalting units (DAG) is being completed at the TCOR. The main objective of the project, carried out by order of the Turkmenbashi complex by a consortium of companies WTL FZE (UAE) and Westport Trading Europe Limited (USA), is the processing of heavy residues of tar and fuel oil. The commissioning of the unit, along with an increase in the depth of oil refining, will increase the output of liquefied gas, gasoline, diesel fuel and petroleum coke, as well as create additional jobs.
Further, the capabilities of the Turkmenbashi complex of oil refineries and the Seydi oil refinery will be analyzed in detail, promising directions for their further development, as well as the optimal range of oil products, taking into account modern requirements and demand in the world market, will be determined.
In particular, it is planned to build new technological facilities at the TCOR and SOR, which will make it possible to bring the depth of oil refining to over 90 percent. Among them - a complex of units for hydrotreatment of diesel fractions and gasoline, catalytic cracking and coking with a hydrogen production unit; installation for catalytic cracking of heavy residues of oil refining products, installation for the production of high-quality base technical oils.
It should also be noted that, having staked on a deeper and more comprehensive processing of natural gas, Turkmenistan has strengthened its position in the world energy market as the largest supplier of energy carriers. Due to the use of new technologies and methods of field development, the level of oil and gas production in the country is maintained.
Focusing the attention of the world community on energy security issues, Turkmenistan has been actively developing ties with foreign companies over the past years.
The joint work of Turkmen and foreign specialists, leading manufacturers from Europe, Asia and America contributes to the achievement of the set goals by establishing direct productive contacts, launching new projects, getting acquainted with global trends and prospects for the development of the industry.
Annual industry exhibitions, meetings and conferences serve as an effective platform for the wide popularization of the achievements of the domestic fuel and energy complex and the promotion of international cooperation in the core area.
This was evidenced by the International Forum on attracting foreign investment in the oil and gas industry of Turkmenistan, which took place in March this year, and in October - the International Conference and Exhibition “Oil and Gas of Turkmenistan-2022”, organized by the State Concerns “Turkmengaz”, “Türkmennebit” and the State Corporation “Türkmengeologiýa” in partnership with the Turkmen National Oil and Gas Company (NaPeCo), the Turkmenbashi complex of oil refineries, the Turkmen Forum ES with the support of the British company Gaffney Cline.
These large specialized forums, aimed at strengthening and expanding cooperation in the field of energy, were held not only in the traditional format, but were also broadcast from Ashgabat online to dozens of countries around the world.
The events were attended, including via video link, by representatives of government agencies, relevant ministries and departments, the world's leading oil and gas business structures, financial institutions, reputable international organizations, diplomatic and scientific circles, and foreign experts.
The agenda of the fora included such topical issues as ensuring global energy security, covering the production, transportation and final consumption of energy carriers, principles of relations with interested partners, prospects for the development of energy diplomacy, alternative energy, innovative technologies and know-how in hydrocarbon production, reduction of methane emissions and associated gases.
Issues related to the optimization of oil and gas production at new fields with the attraction of foreign investment, including for the development of offshore blocks of the Turkmen sector of the Caspian Sea, as well as building up contacts between domestic specialists and representatives of foreign companies - manufacturers of equipment for the oil and gas processing industry, investment organizations were discussed.
Particular emphasis in the speeches of foreign participants was placed on the fact that in the age of advanced technology and science, the consumption of crude oil and petroleum products is growing. In this context, it was noted that a lot of work is being done to diversify the oil and gas industry, create new capacities for deep processing of oil and natural gas.
In his Address to the participants of the above-mentioned International Conference and Exhibition “Oil and Gas of Turkmenistan-2022”, President Serdar Berdimuhamedov emphasized: “Our Motherland is taking unprecedented measures aimed at achieving universal progress and peace through the withdrawal and transit of energy resources to foreign markets. The construction of gas pipelines and transport and transit corridors will become a key factor in maintaining sustainable development and stability in the region, which is clearly demonstrated by the gas artery along the Turkmenistan-China route and the transnational gas pipeline Turkmenistan-Afghanistan-Pakistan-India being laid.”
The head of state noted that the phased development of one of the world's largest "blue fuel" deposits “Galkynyş” is currently underway, as well as the laying of the fourth branch of the Turkmenistan-China gas pipeline. The priority in the production of hydrocarbon resources is the development of licensed offshore blocks of the Turkmen shelf of the Caspian Sea through foreign investment.
At the forum, an important place was given to the environmental aspects of the development of hydrocarbon deposits and, in accordance with this, low-carbon energy. For the transition to “green” energy technologies, without destroying the environment, inexpensive, reliable renewable energy sources, primarily wind and solar, are actively developing.
It is the fuel of the future - hydrogen - that will solve the problems of climate change. In industrial production, it provides heat without generating greenhouse gases, since the calorific value of hydrogen is 3 times higher than that of other fuels. This energy carrier with its advantages - clean fuel with zero gas emissions, fast refueling, safety, economy, competitiveness - can also be used as an energy storage.
The issues of training highly qualified personnel for the oil and gas industry, including building up scientific potential, were also discussed.
The key tasks of further modernization of the fuel and energy complex were considered at working meetings and meetings of the Cabinet of Ministers of Turkmenistan, held by President Serdar Berdimuhamedov this year. This was confirmed by the signing by the head of state of a number of Resolutions on the purchase of appropriate equipment for the leading enterprises in the industry.
The steps taken in this direction help to improve the efficiency of seismic surveys and prospecting activities, production potential, the identification and industrial development of new deposits and, in general, the strengthening of the material and technical base of all divisions of this sector.
Thus, the results of 2022 demonstrate that Turkmenistan is focused on the accelerated modernization of the fuel and energy complex, expanding its infrastructure through the creation of modern production facilities. In this aspect, the priority for our country is the processing of natural gas and the production of new types of products.
In accordance with the innovation policy of President Serdar Berdimuhamedov, further increase in the production capacity of the industry is closely related to ensuring energy security, the goals of sustainable economic development at the global and regional levels, which will serve further prosperity of the Fatherland, and well-being of the people in the Epoch of the Revival of the new era of powerful state.