By Judy Maina
NAIROBI, Kenya – Turkey has secured expansive control over Somalia’s oil and gas resources under the terms of a recently disclosed bilateral hydrocarbons agreement, offering the clearest picture yet of Ankara’s growing influence in the Horn of Africa.
The agreement — titled “Agreement Between the Government of the Republic of Türkiye and the Federal Government of the Federal Republic of Somalia in the Field of Hydrocarbons” — was signed in Istanbul on March 7, 2024, by Turkish Energy Minister Alparslan Bayraktar and Somali Petroleum Minister Abdirizak Omar Mohamed.
The full text was made public only this week, following its submission to the Turkish Parliament for ratification on April 22.
The release of the document reveals a deal heavily tilted in Turkey’s favor. It grants Turkish companies extensive operational privileges and financial exemptions rarely seen in international energy contracts.
Under Article 4.5, Turkish entities are exempt from paying signature, development, or production bonuses, as well as surface or administrative fees — costs typically required in petroleum agreements worldwide.
Most notably, Article 4.7 allows Turkey to recover up to 90 percent of petroleum produced annually — in the form of “cost petroleum” — to cover operational expenses before revenue sharing begins. Somalia’s own royalties are capped at just 5 percent and do not apply to oil reinjected into reservoirs or consumed in operations.
The agreement also permits Turkey to export its share of oil and gas at market prices with no restrictions.
Article 4.8 states that Turkish companies may retain all revenue from such sales, whether abroad or domestically, effectively limiting Somalia’s financial oversight of exported resources.
The deal is part of Turkey’s broader Africa Opening Strategy, which prioritizes Somalia due to its strategic maritime location and vast, untapped energy reserves.
Somali territory is estimated to hold 6 billion cubic meters of proven natural gas and up to 30 billion barrels of offshore hydrocarbons, according to documents accompanying the parliamentary submission.
Turkish officials argue the agreement will deepen cooperation with Somalia, offering technical expertise and investment in a country they describe as increasingly stable and open for energy development.
But the deal is already raising concerns among observers and Somali opposition figures who accuse President Hassan Sheikh Mohamud’s administration of compromising national sovereignty.
President Mohamud met with Turkish President Recep Tayyip Erdoğan in Antalya earlier this month, reinforcing the strategic ties between the two countries.
As Parliament in Ankara deliberates ratification, the agreement is expected to fuel debate over the balance of power and profit in one of Africa’s most contested emerging energy frontiers.
