$400Mn WB Loan To Boost Turkish Gas Storage

Turkish gas storage and network infrastructure received a boost earlier this month when the World Bank approved a loan of $400mn for the country’s Gas Sector Development Project. The loan will help to cover the costs needed to operate a giant gas storage facility in caverns underneath the Tuz Golu salt lake in south central Turkey.

Upon completion, the facility will have a storage capacity of 1.42 bcm (around 50bn cu ft), of which two-thirds (0.96 bcm) will be usable “working gas” and the remaining 0.46 bcm “cushion gas,” required to remain in the cavern to maintain its integrity.

The usable working gas volume is the equivalent of just under eight days of Turkish gas consumption (45.15 bcm for 2013). Turkish gas stocks in recent years have fluctuated between a low of only 300mn cu ms in February 2012 and a high of just over 2.5 bcm in November the same year (see graph). (CONTINUED - 538 WORDS)