Turkey’s New Petroleum Law: General Framework And Incentives

I. INTRODUCTION

Historically, the right to explore and produce petroleum has either been exclusively owned or managed by the Turkish State. However, in recent years the strict governmental regime started to loosen up with a view to establish a competitive market where the State is now playing more of a regulatory role rather than acting as the main player.

This presentation provides a brief account of the current legal framework concerning petroleum and the incentives that have been introduced in order to attract more foreign investment to engage in petroleum activities in Turkey.

II. HISTORICAL BACKGROUND OF THE TURKISH PETROLEUM LEGISLATION

It is helpful first to look at the previous Turkish petroleum legislation in order to better understand the new Turkish Petroleum Law No. 6491 that was adopted in June 2013.