BAKU, Azerbaijan, June 18. Turkmenistan has authorized an agreement with PETRONAS on the development of licensed blocks in the country's sector of the Caspian Sea.
This was reported by the press service of the Turkmen government in a press release published on June 18.
"President of Turkmenistan signed a resolution authorizing the State Concern Turkmennebit to conclude an agreement on the development of licensed blocks in the Turkmen sector of the Caspian Sea," the report says.
According to the document, the agreement will be signed between Turkmennebit State Concern, PETRONAS Carigali (Turkmenistan) Sdn. Bhd., and Hazarnebit, an enterprise of Turkmennebit.
The government said the decision was adopted to support the implementation of objectives set for the oil and gas sector and to ensure the efficient development of licensed offshore blocks located in Turkmenistan's sector of the Caspian Sea.
The resolution was issued in accordance with Turkmenistan's Law on Hydrocarbon Resources, the report outlines.
As a note, the signing of this agreement is expected by June 19, as earlier stated by Malaysia’s Deputy Minister of Economy, Akmal Nasrullah Mohd Nasir, during a briefing.
For reference, PETRONAS has maintained a presence in Turkmenistan since July 1996, when it became the first foreign company to sign a production-sharing agreement (PSA) for offshore Block I in the Turkmen sector of the Caspian Sea. The block includes the Magtymguly, Diyarbekir, and Garagol-Deniz fields and remains one of the country’s key offshore energy assets. This year also marked two decades of cooperation between Turkmenistan and PETRONAS in the gas processing sector.
In May 2025, PETRONAS signed a new long-term agreement for Block I, extending its operations in Turkmenistan through 2050. Under the updated arrangement, the offshore project currently produces around 400 million cubic feet of natural gas per day and has access to more than 7 trillion cubic feet of gas resources.
