UPDATE 1-Russia interested in Turkey LNG terminal -source

Thu Feb 21, 2008 5:07pm GMT
 
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ANKARA, Feb 21 (Reuters) - Russia is interested in building a liquefied natural gas (LNG) terminal at Turkey's Ceyhan port on the Mediterranean coast, a Turkish foreign ministry official said on Thursday.

The official, who spoke during a briefing with reporters, declined to be named or to give further details.

Turkey now has one LNG terminal on its northwest coast.

"Russian firms said during Foreign Minister Ali Babacan's visit to Moscow that they were also interested in taking part in Turkey's nuclear power station tender," the official said. Babacan was in Moscow on Feb 19-20.

Russian companies have shown interest as well in Turkey's electricity distribution and production sectors, the same official said.

Ankara was due to release the tender conditions for the construction and operation of what would be Turkey's first nuclear power generator.

Construction of the nuclear plant, expected to cost approximately $10 billlion, is targeted to begin this year, Prime Minister Tayyip Erdogan said last year.

Turkey's first electricity grid privatisations will be in the provinces of Ankara, Sakarya and in the east of the country, the Privatisation Administration said earlier this month.

Turkey is attracting the interest of foreign investors with fast rising energy consumption and market liberalisations. (Reporting by Evren Mesci and Zerin Elci, editing by Anthony Barker)

 

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