The Turkish Steel Exporters' Association (CIB) held a Shale Gas Seminar on January 7 at which it discussed the importance and benefits of shale gas applications. The CIB indicated that shale gas brings hope for many energy intensive industries, particularly the steel industry which accounts for 21.6 percent of total energy consumption in Turkey.
"Energy costs make up 10 percent of production costs in the Turkish steel industry. These costs place Turkey - one of the countries with the most expensive energy in the world - in a? disadvantageous position compared to its competitors, which is why shale gas is vital for Turkey as a resource. The most important market in the steel industry is the US. The US is rich in terms of shale gas reserves and uses them for its own industry. Therefore, Turkey will be at a disadvantage in its competition with the US. It will also negatively affect our exports," said CIB chairman Namk Ekinci.
Shale gas reserves in Turkey are estimated to stand at 1.8 trillion m3, though there is a lack of an overall strategy on drilling for shale in Turkey. The country's first shale gas well was opened in Diyarbak?r in November last year within the scope of cooperation between Shell and Turkey Petroleum Corporation.
