Ankara hopes to win arbitration hearing on Russian gas price

Baku, Azerbaijan, Feb. 3 By Rufiz Hafizoglu – Trend: Ankara hopes to win the arbitration hearing on the Russian gas price, a source in the Turkish Ministry of Energy and Natural Resources exclusively told Trend Feb. 3. The source also said the court has already made a number of preliminary conclusions on Turkey's claim, but refused to disclose any details. Earlier, the International Court of Arbitration passed a judgment in favor of Turkey over a long-term gas dispute between the country and Iran. Moscow and Ankara agreed to reduce the Russian gas price a year ago, but in exchange for permission to build the Turkish Stream gas pipeline. However, the price was not reduced. Turkey filed a lawsuit to the International Court of Arbitration on Oct. 27, 2015. In accordance with two contracts signed with Turkey, Russia is committed to annually supply 20 billion cubic meters of gas to the country. The first contract to supply Turkey with 16 billion cubic meters of Russian gas was signed in 1997, and will expire in late 2025. The second contract for the supply of four billion cubic meters of gas was signed in 1998 and expires in 2021. In 2014, Turkey was the second largest importer of Russian gas after Germany – Ankara purchased 27.3 billion cubic meters of gas from Gazprom. Turkey imports 6.6 billion cubic meters of gas per year from Azerbaijan on the basis of a ‘take or pay’ contract. Turkey also buys gas from Iran. Ankara also has agreements with Algeria and Nigeria for the supply of 4.4 billion cubic meters and 1.2 billion cubic meters of liquefied gas per year, respectively. --- Follow the author on Twitter: @rhafizoglu Follow us on Twitter @TRENDNewsAgency